Despite occasions for profit-booking, the Indian equity market began the week with significant buying enthusiasm. The technical setup suggests that several stocks will continue to be strong, with momentum indicators supporting the current trend, while key support levels remain stable as per Axis Direct.
For the week, the brokerage selects high-conviction picks set for a possible upside of up to 18% in a term of 3 to 4 weeks.
Nifty 50 Weekly Outlook
“On the weekly chart, the index has formed a small bullish candle with a lower shadow, highlighting buying interest at lower levels. Index registered a new all-time high of 26310 in an intraday after 14 months but failed to sustain above it. A decisive close above this level could open the door for an upside extension towards 26500-26700. On the downside, the 26000-25886 (20-day SMA) zone remains a crucial support band,” commented the technical research analysts of Axis Direct.
“A sustained move above 26350 may fuel buying toward 26500-26700, while a break below 26000 could invite selling toward 25850-25600. For the week ahead, we expect Nifty to trade within the 26700-25600 range with a mixed to positive bias. The weekly RSI remains above its reference line, reinforcing the ongoing positive momentum,” they further commented.
Bank Nifty Weekly Outlook
“On the weekly chart, it formed a bullish candle with a higher high-low structure and closed above the previous week’s high, reinforcing a positive bias. Bank Nifty also outperformed Nifty, registering a new all-time high. With the principle of polarity in effect, the previous resistance at 58600 has now become a key support zone. Sustaining above this level, along with continued follow-through buying, may pave the way for further upside,” said the technical research analysts of Axis Direct.
“The chart structure suggests that a decisive move above 60000 could trigger fresh buying toward 60500- 61000, while a break below 59450 may invite selling pressure toward 59000- 58600. For the week, the index is expected to trade within the 58600-61000 range with a positive undertone. The weekly RSI is trending upward and remains above its reference line, further supporting the bullish momentum,” they stated.
Stocks To Buy This Week
Here are the top 3 stock picks for the week by Axis Direct.
Welspun Living Ltd
Buy Range: 145-142, Stop loss: 134, Upside: 13% -18%, holding period: 3 to 4 weeks
WELSPUNLIV has delivered a decisive breakout above the medium-term downward sloping trendline at 133 on the weekly chart in mid-Nov, 2025, marked by a strong bullish candle- signalling the end of its corrective phase and the onset of a medium-term uptrend.
The stock witnessed a brief throwback before rebounding sharply, successfully retesting the breakout zone and reaffirming the validity of the pattern.
Rising volumes at the breakout underscore robust market participation and strong conviction.
Momentum indicators also align with this view, as the weekly RSI has broken out above its downward sloping trendline, validating the strength in price action.
The above analysis indicates an upside toward 162-170 levels.
Samvardhana Motherson International Ltd
Buy Range: 115-112, Stop loss: 108, Upside: 9%-14%, holding period is 3 to 4 weeks
MOTHERSON is trending within a rising channel. After taking support at the lower band, it is now advancing toward the upper band, indicating sustained upward momentum.
The stock has broken above a strong multi-resistance zone near 114 on the weekly chart, supported by a bullish candle and rising volumessignaling a positive bias and continuation of the medium-term uptrend.
Momentum indicators support this strength, with the weekly RSI rising and trending above its reference line, highlighting persistent momentum and a strengthening bullish outlook.
RSI trending higher and holding above its reference line and 50 mark, indicating a positive bias.
The above analysis indicates an upside toward 124-129 levels.
Cummins India Ltd
Buy Range: 4440-4350, Stop loss: 4180, Upside: 10%-13%, holding period is 3 to 4 weeks.
On the weekly chart, CUMMINSIND delivered a decisive breakout above the strong multi-resistance zone near 4160 at the end of October 2025. The breakout was accompanied by a bullish candle, signalling a positive bias and the continuation of the medium-term uptrend.
Following the breakout, the stock consolidated in a narrow 4470-4160 range, taking a brief pause after a sharp rally. This week, it has broken above the range, reaffirming the continuation of the uptrend.
The stock maintains a higher high-low structure and trades well above its rising trendline, highlighting a strong short-term bullish setup.
The weekly RSI is trending higher and holding above its reference line, indicating a positive bias.
The above analysis indicates an upside toward 4825-4950 levels.