Top 3 stock picks by Ankush Bajaj for 12 August
Fortis Healthcare Ltd — current price: ₹920.65
Why it’s recommended: Fortis Healthcare Ltd is showing strong bullish momentum with a daily RSI at 79, indicating sustained strength. MACD is firmly positive at 29, while ADX at 42 reflects a robust trending phase. The stock recently marked a lifetime high and is poised to extend the rally in both near- and short-term horizons. A bullish pennant pattern has formed on lower timeframes, projecting a target of more than ₹955.
Pattern: Bullish pennant continuation post lifetime high
RSI: 79, indicating strong momentum
MACD: Positive at 29
ADX: 42, confirming trend strength
Technical analysis: Bullish pennant breakout suggests a continuation towards ₹955
Risk factors: A close below ₹904 would weaken the immediate momentum.
Buy at: ₹920.65
Target price: ₹955
Stop loss: ₹904
Indian Bank — current price: ₹674.00
Why it’s recommended: Indian Bank is showing healthy bullish momentum with daily RSI at 67, MACD positive at 5, and ADX at 15, showing a developing trend. On the 45-minute chart the stock has broken multiple consolidation structures, including rectangle and triangle patterns, around the ₹658 level. This zone is now expected to act as a strong support.
Pattern: Rectangle and triangle breakout on lower timeframe
RSI: 67, indicating bullish bias
MACD: Positive at 5
ADX: 15, suggesting potential for trend expansion
Technical analysis: Breakout above consolidation patterns targets ₹710.
Risk factors: A close below ₹658 would negate the breakout setup.
Buy at: ₹674.00
Target price: ₹710
Stop loss: ₹658
One97 Communications Ltd (Paytm) — current price: ₹1122
Why it’s recommended: One97 Communications is maintaining its bullish momentum with daily RSI at 69, MACD strong at 34, and ADX at 46, highlighting a powerful ongoing trend. On the 45-minute chart the stock has broken out from a symmetrical triangle pattern, signaling further upside potential.
Pattern: Triangle breakout on lower timeframe
RSI: 69, sustaining bullish momentum
MACD: Positive at 34
ADX: 46, confirming trend strength
Technical analysis: Triangle breakout projects a target towards ₹1,182.
Risk factors: A close below ₹1,091 would invalidate the bullish setup.
Buy at: ₹1,122
Target price: ₹1,182
Stop loss: ₹1,091
How the market performed on 11 August
No sector closed in the red. PSU Bank (+2.20%), Realty (+1.86%), and Healthcare (+1.54%) led the gains, highlighting rotational buying into high-beta and value-oriented segments.
In stock-specific action, Adani Enterprises jumped 4.23%, Tata Motors gained 3.20%, and Eternal advanced 2.69%, all benefiting from robust demand and sectoral momentum.
A few counters saw mild profit-booking. Hero MotoCorp slipped 0.82%, Bharat Electronics Ltd edged down 0.18%, and Bharti Airtel eased 0.06%, but these moves had little impact on the broader bullish sentiment.
Nifty technical analysis: daily & hourly
The Nifty staged a notable recovery, closing 0.91% higher. This helped it reclaim 24,500, but the broader structure remains fragile as the short-term trend is yet to reverse convincingly. The 20-day SMA at 24,847 continues to trade below the 40-day EMA at 24,870, keeping the recent negative crossover intact. This crossover still serves as an overhang for the medium-term outlook, as the index remains under both these daily averages.
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On the intraday scale, however, the picture has improved marginally—the Nifty has closed above both the 20-hour SMA at 24,460 and the 40-hour EMA at 24,542, a sign that short-term momentum has turned mildly positive. Remaining above these hourly averages will be crucial for extending the bounce.
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Momentum indicators show early signs of stabilising. The daily RSI has risen to 42 from oversold territory, suggesting some loss of downside momentum, though it is still far from the overbought zone. The daily MACD, however, remains deep in the red at -160, highlighting that bearish momentum has not fully dissipated.
On the hourly charts, RSI has improved to 54 and MACD has recovered to -15, indicating that intraday sentiment has shifted in favour of the bulls, at least for the near term. The absence of deep negative readings on hourly momentum now opens the possibility for follow-through buying if resistance levels are tested.
Derivatives data presents a more balanced picture compared to the previous session. Total Call OI stands at 14.42 crore, almost matching the Put OI at 14.41 crore, resulting in a negligible PE–CE OI difference of just -98,100 contracts. This near-parity in positioning suggests a pause in aggressive directional bets, with traders possibly reassessing after the recent rebound.
The heaviest Call OI remains at the 25,000 strike, serving as a major overhead resistance zone. Interestingly, the highest Call OI change has been recorded at the 25,050 strike, which could emerge as a fresh short-term ceiling if the rally extends.
On the Put side, maximum OI and the largest addition are concentrated at the 24,400 strike, signalling that traders are building a base of support just below current levels. The daily change in OI — a 2.54 crore drop in Calls against a hefty 6.33 crore addition in Puts — gives the OI change trend a bullish bias, indicating short-covering on the Call side and fresh Put writing to defend lower supports.
Overall, while the Nifty’s rebound above the 24,500 mark has improved the short-term tone, the medium-term trend remains under pressure due to the prevailing negative daily moving average crossover. For a sustained reversal, the index must reclaim 24,870 on a closing basis and hold above it with strong volumes. Immediate resistance is seen at 24,750–24,800, followed by the key 25,000 mark.
On the downside, 24,400–24,350 is now the first layer of support, with 24,250 as a secondary cushion. For the near term, the strategy shifts to a buy-on-dips approach towards the 24,450–24,500 zone, keeping a stop-loss below 24,350 on a closing basis. However, positional traders should remain cautious until the daily chart structure confirms a trend reversal.
Ankush Bajaj is a Sebi-registered research analyst. His registration number is INH000010441.
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Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
