Stocks To Buy: 3 Stock Picks For Next Week By Sumeet Bagadia of Choice Broking

On Friday, the Sensex and Nifty closed the day higher despite a volatile Asian market close. The benchmark indices ended the last day of September on a high note as the Nifty 50 completed the day at 19,637.05, up 114 points, or 0.58%, while the Sensex closed at 65,828.41, up 320 points. On a weekly basis, indices fell on Friday for the second consecutive week. This week, the NSE Nifty 50 fell by 0.08% while the S&P BSE Sensex plummeted by 0.32%. Due to Gandhi Jayanti, Indian markets will be closed on Monday. However, investors' attention will be on the RBI policy meeting set for next week as well as macroeconomic data that will be released internationally.

Nifty Outlook Next Week

"On the daily charts we can observe that the Nifty has not witnessed follow-through selling pressure from the previous trading session. In fact it managed to close above 19600 zone which is a positive sign. On the hourly charts we can observe an Impulse i.e. a five-wave advance which helps us to assume that the low of 19492 is a short-term bottom in place. The positive divergence and crossover on the hourly time frame also suggests that the probability of a pullback is high. Thus, both price and momentum indicator suggest that there can be a positive momentum over the next few trading sessions. In terms of levels, 19500 - 19480 is the crucial support zone while 19780 - 19840 shall act as an immediate hurdle zone," said Jatin Gedia - Technical Research Analyst at Sharekhan by BNP Paribas.

Bank Nifty Prediction Next Week

"Bank Nifty also witnessed a pullback and as a result it managed to close around the 20 week moving average ( 44584) which is a positive sign. We believe that the Bank Nifty is witnessing loss of momentum on the downside which is evident from the positive divergence on the hourly time frame. On the upside we expect a pullback towards 45000 - 45200 zone from short term perspective," said Jatin Gedia.

Stocks To Buy Next Week

Sumeet Bagadia, Executive Director at Choice Broking has recommended the below stocks to buy or sell next week.

Axis Bank

Buy AXISBANK in cash @ Rs 1036, stop-loss: Rs 1015, target: Rs 1072

AXISBANK is displaying positive signs in its recent price movements, showing resilience as it bounced back from the support level of 1010, indicating investor interest.

Currently trading around 1036, it has recovered from this support level. The stock's trading above key moving averages further supports its strength in the current market conditions.

There's a minor obstacle at the 1045 level, presenting a smaller resistance. Once AXISBANK overcomes this hurdle, it's expected to continue its upward trend. Given this analysis, we anticipate AXISBANK to move towards 1072, so we recommend buying it at the current market price of 1036 with a stop loss set at 1015.

Dr. Lal PathLabs

Buy LALPATHLAB in cash @ Rs 2524.35, stop-loss: Rs 2403, target: Rs 2800

LALPATHLAB is currently trading at Rs 2524.35. On the daily chart, price created a cup and handle pattern breakout with huge volume. Moreover, LALPATHLAB is presently trading above critical Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, reinforcing its bullish momentum and potential for further upward price movement.

The Relative Strength Index (RSI) currently stands at 69.41 and is trending upwards, indicating a growing buying momentum. Additionally, the Stochastic Relative Strength Index (Stoch RSI) has recently experienced a positive crossover from the oversold region. This combination of technical indicators suggests that LALPATHLAB may have the potential to reach a target price of Rs 2800 in the near term.

To effectively manage risk, it is advisable to implement a stop-loss (SL) at Rs 2403 to protect your investment in case of an unexpected market reversal. In summary, considering the technical analysis and prevailing market conditions, LALPATHLAB appears to present an attractive buying opportunity for those aiming for a Rs 2800 price target, provided that prudent risk management measures are in place.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.