Top stocks to buy this week: What’s the outlook for Nifty? Check list of stock recommendations
Stock market recommendations: According to Sudeep Shah, Head – Technical Research and Derivatives, SBI Securities, Kajaria Ceramics Ltd, and Affle 3i Ltd are the top stock picks for this week. Here’s his view on Nifty, Bank Nifty for the week starting August 11, 2025:Nifty View:The benchmark Nifty index extended its losing streak for the sixth consecutive week, marking its longest stretch of weekly declines since the COVID-19 market crash in 2020. This persistent weakness reflects the prevailing bearish sentiment in the market. Technically, the index has formed a bearish candle with a long upper shadow for the fourth straight week, indicating that every attempt at a rally is being met with strong selling pressure. This pattern highlights the lack of conviction among bulls and the dominance of bears at higher levels.Market sentiment further deteriorated during the week following geopolitical developments, particularly the imposition of a 25% tariff on Indian goods by U.S. President Donald Trump, escalating trade tensions over India’s Russian oil imports. Additionally, weak Q1 earnings across key sectors and continued FII selling added to the pressure on equities.From a technical standpoint, the Nifty index continues to show pronounced weakness. It is trading below its 20-day, 50-day, and 100-day EMAs, all of which are sloping downward — a clear indication of sustained bearish momentum. The RSI on the daily chart has entered a super bearish zone, as per RSI range shift principles, further confirming the negative bias. The MACD indicator also remains in bearish territory, with the MACD line positioned below both its signal line and the zero line, reinforcing the ongoing downtrend and suggesting that selling pressure continues to dominate.In terms of key levels, the zone of 24,200–24,150 is expected to act as crucial support, as it represents the confluence of the 200-day EMA and the 38.2% Fibonacci retracement level of the prior rally from 21,743 to 25,669. A breach below 24,150 could lead to further downside towards 23,750. On the upside, the 100-day EMA zone of 24,570–24,600 will serve as a significant resistance level, where selling pressure is likely to re-emerge.Bank Nifty ViewBank Nifty concluded the week in negative territory, signalling ongoing weakness in the financial sector. On the weekly chart, the index formed a bearish candle, underscoring sustained selling pressure. Over the past two sessions, it has been consolidating near its 100-day EMA.Looking ahead, the 100-day EMA zone of 54,950–54,850 will serve as a crucial support level. A decisive break below 54,850 could accelerate the downward momentum, potentially dragging the index toward the next support range of 54,000–53,900. On the upside, any rebound is likely to encounter resistance around 55,700–55,800, which now stands as a significant barrier for bullish attempts.Stocks recommendations:Kajaria Ceramics:The stock of Kajaria Ceramics Ltd has been consistently outperforming frontline indices over the past few trading sessions. On Friday, it registered a breakout above a horizontal trendline on the daily chart, supported by robust volume — a key confirmation of bullish intent. Technically, the stock is trading above all major moving averages, and momentum indicators are aligned positively, reinforcing the strength of the ongoing uptrend. Given this setup, we recommend accumulating the stock in the 1310–1300 range, with a stoploss at 1250. On the upside, the stock has the potential to test 1410 in the near term.Affle 3i Ltd:The stock recently found support near its 100-day EMA and has since witnessed a sharp upward move, outperforming frontline indices. Currently, it is consolidating in a narrow range, forming a solid base around its 20-day EMA — a sign of strength and stability.It continues to trade above key moving averages, and technical indicators point to sustained bullish momentum. Given this setup, we recommend accumulating the stock in the 1970–1950 zone, with a stoploss at 1880. On the upside, the stock has the potential to test 2150 in the short term.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)
