Top 3 stock recommendations by Ankush Bajaj for 16 September
Buy: L&T Finance Ltd — Current Price: ₹237.10
Why it’s recommended: L&T Finance is displaying strong upward momentum with the daily RSI at 74, firmly in bullish territory. The MACD is positive at 7.5, confirming trend continuation, while the ADX at 39 highlights solid underlying trend strength. The stock has been making higher tops and higher bottoms, supported by healthy volumes, and remains well-positioned to extend its rally in the near term.
Key metrics:
Pattern: Momentum continuation above recent breakout levels
RSI (14-day): 74 — overbought but sustaining bullish momentum
MACD: +7.5 — positive, confirming trend
ADX: 39 — strong trend strength
Technical view: Sustaining above ₹235 strengthens the setup for a move toward ₹242.
Risk factors: RSI in overbought territory could trigger profit-taking if momentum stalls.
Sensitive to NBFC sector trends and interest rate outlook.
Volatility possible given the sharp recent run-up.
Buy at: ₹237.10
Target price: ₹242
Stop loss: ₹235
Buy: UNO Minda Ltd — Current Price: ₹1,301.50
Why it’s recommended: UNO Minda is maintaining strong bullish momentum after consolidating near recent highs. The daily RSI stands at 64, reflecting sustained buying interest without being in overbought territory. The MACD is positive at 39, confirming ongoing upward momentum, while the ADX at 38 indicates robust trend strength. Price action shows the stock holding firmly above near-term support zones, with momentum and volumes supporting further upside.
Key metrics:
Pattern: Continuation move within a strong uptrend
RSI (14-day): 64 — steady bullish bias
MACD: +39 — positive, signaling trend continuation
ADX: 38 — strong trend strength
Technical view: Sustaining above ₹1,286 will keep the structure constructive for a move toward ₹1,335.
Risk factors: Elevated valuations could trigger profit-taking in case of market weakness.
Auto ancillary sector is cyclical; demand slowdown may impact momentum.
Short-term volatility possible after sharp moves.
Buy at: ₹1,301.50
Target price: ₹1,335
Stop loss: ₹1,286
Buy: Amber Enterprises Ltd — Current Price: ₹8,080
Why it’s recommended: Amber Enterprises is displaying a steady bullish setup after sustaining above key support zones. The daily RSI at 64 reflects healthy momentum, while the MACD at +154 highlights strong ongoing trend strength. The ADX at 17 indicates that while the stock is trending higher, the trend is still in its early stages and may strengthen further. Price action suggests buyers are active on dips, supporting the case for near-term upside.
Key metrics: Pattern: Momentum continuation within ongoing uptrend
RSI (14-day): 64 — steady bullish momentum
MACD: +154 — strong positive reading, confirming trend
ADX: 17 — trend still developing, scope for acceleration
Technical view: Holding above ₹7,999 will keep the setup constructive for an upside move toward ₹8,245.
Risk factors: ADX shows trend is not fully matured; momentum could fade if volumes don’t sustain.
Vulnerable to volatility in input costs (AC/consumer durables sector).
Valuations are on the higher side; prone to profit-taking in weak markets.
Buy at: ₹8,080
Target price: ₹8,245
Stop loss: ₹7,999
How the market performed on Monday
The Nifty 50 slipped 44.80 points or 0.18% to close at 25,069.20, while the BSE Sensex declined 118.96 points or 0.15% to settle at 81,785.74. Nifty Bank ended lower by 78.55 points or 0.14% at 54,887.85, indicating cautious sentiment in financial majors.
Sector-wise, cyclical pockets showed some resilience. The realty index climbed 2.41%, the PSU bank index rose 0.60%, and the energy index gained 0.54%. On the other hand, defensive segments witnessed profit booking, with the pharma index slipping 0.60%, the healthcare index easing 0.55%, and the auto index falling 0.39%.
In stock-specific action, Jio Financial Services gained 1.33% on strong institutional buying, while Bajaj Finance added 0.66% and Eternal rose 0.59%. However, pressure from heavyweight counters capped broader gains as Asian Paints slipped 1.72%, Cipla dropped 1.67%, and Mahindra & Mahindra declined 1.66%.
Nifty technical analysis: daily & hourly
The Nifty 50 failed to hold above the previous day’s high, reflecting some profit-taking pressure after a strong run-up, though it continues to hover near the 25,000 mark — a crucial pivot for the short-term trend.
View Full Image
On the daily chart, the overall momentum picture remains mixed. The RSI (14) is at 59.01, neutral and showing no strong divergence, while the MACD remains in buy mode at +49.82, supporting the broader uptrend. Short-term oscillators like Stochastic %K (91.77) and Stochastic RSI (96.96) are in overbought zones but showing neutral action, hinting at consolidation.
Meanwhile, Momentum (10) has slipped into a sell signal, and Williams %R (-9.56) is also in sell territory, suggesting near-term exhaustion. The ADX at 17.43 remains low, indicating that trend strength is still developing and not yet firmly established.
View Full Image
Moving averages continue to paint a largely constructive picture. The Nifty is trading above all key EMAs and SMAs, with the 10-, 20-, 30-, 50-, 100- and 200-day averages all signaling “buy.” This reinforces that the broader structure remains bullish despite intraday softness. The only weak signal is from the Hull Moving Average (9), at 25,134.65, currently flashing a sell, indicating short-term overextension. Importantly, the index remains above the Ichimoku base line (24,745.58) and VWMA (24,805.95), highlighting that underlying support zones are intact.
The derivatives setup shows a more cautious undertone. Overall Put OI at 20.08 crore is marginally higher than Call OI at 19.48 crore, leaving a small positive differential of 60 lakh contracts, technically keeping the bias bullish.
However, the day’s OI change data is less supportive: Call OI jumped by 4.19 crore, while Put OI fell by 27.45 lakh, creating a negative OI differential of –4.46 crore. This indicates fresh Call writing and unwinding of Puts, a short-term bearish signal. The heaviest Call OI is now positioned at the 25,100 strike, with the largest additions also at this level, making 25,100 an immediate resistance zone.
On the Put side, maximum OI is still at the 25,000 strike, but interestingly, the highest additions have shifted to 25,100, suggesting that traders are trying to establish support closer to spot despite the profit-taking.
In summary, the Nifty remains in a broadly bullish structure, supported by moving averages and a positive MACD, but short-term momentum signals and OI change data point to fatigue near resistance. The 25,000 level remains the key make-or-break support, while 25,100–25,150 emerges as the immediate resistance band. A decisive move above 25,150 could reignite the rally toward 25,300–25,500, whereas a sustained close below 25,000 may trigger a deeper pullback toward 24,800–24,750. For now, the market looks poised for consolidation with a bullish bias, and dips closer to 25,000 are likely to attract fresh buying interest.
Ankush Bajaj is a Sebi-registered research analyst. His registration number is INH000010441.
Investments in securities are subject to market risks. Read all the related documents carefully before investing.
Registration granted by Sebi and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
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.
