Chandan Taparia’s Top 4 Shares to Buy This Week – Axis Bank, Bajaj Auto, L&T, UltraTech Cement

On June 3, the Indian stock market saw a big boost with Sensex and Nifty 50 experiencing their best gains since January 2021. Investors were actively buying across various sectors, a shift from the cautious trading of the previous month. This surge came after exit polls suggested that the upcoming Lok Sabha election results might match market expectations, boosting investor confidence.

Both Sensex and Nifty 50 hit new all-time highs, with each index rising nearly 4% during the session and closing with gains of more than 3%. “Nifty index opened with the largest gap in four years, around 800 points, reaching a new high of 23,338. It stayed positive throughout the day, closing with gains of about 730 points. It now needs to stay above 23,110 for further upward movement towards 23,500 and 23,700. Support levels are at 23,000 and 22,795,” said Chandan Taparia, Head of Equity Derivatives and Technicals at MOFSL.


India’s VIX, a measure of market volatility, dropped by 14.87% from 24.60 to 20.94. This cooling of volatility to 19 levels helped the bulls maintain the index at lifetime highs.

On the options front, the highest Call Open Interest is at the 24,000 and 23,500 strikes, while the highest Put Open Interest is at the 22,500 and 23,000 strikes. Minor Call writing is seen at the 23,500 and 23,700 strikes, while minor Put writing is at the 23,200 and 23,000 strikes. Options data suggests a broader trading range between 22,800 and 24,000, with an immediate range between 22,900 and 23,600.

Bank Nifty

The Nifty Bank index saw a 4.07% surge, with the Financial Services and Private Bank indices rising by 4.04% and 3.34%, respectively.

“The Bank Nifty index opened with a massive gap of more than 1,900 points at a new high near 50,900. It stayed within a 500-point range initially but gained momentum later, hitting a new high of 51,133. It formed a bullish candle with a long lower shadow, indicating strong buying. It needs to stay above 50,500 to reach new highs of 51,500 and 52,500, with support at 50,500 and 50,000,” added Taparia.

Stocks to Buy

Chandan Taparia has recommended four stocks to buy on Tuesday, June 4, which he believes are technically positioned for a good move:

  1. Axis Bank: Buy at ₹1,230 | Target: ₹1,300 | Stop Loss: ₹1,180
    • Axis Bank has broken out of a consolidation on the weekly chart, with buying seen across the banking sector.
  2. L&T: Buy at ₹3,900 | Target: ₹4,100 | Stop Loss: ₹3,800
    • L&T has broken out of a range on the daily chart, showing gains at higher levels and forming higher highs and lower lows over the past three weeks. The positive trend supports a move towards ₹4,100.
  3. Ultratech Cement: Buy at ₹10,450 | Target: ₹11,300 | Stop Loss: ₹10,050
    • Ultratech Cement has broken out of a box pattern on the daily chart, respecting its 50-day exponential moving average (DEMA). It has broken out of a 23-week consolidation and is holding well above ₹10,000.
  4. Bajaj Auto: Buy at ₹9,335 | Target: ₹10,000 | Stop Loss: ₹9,000
    • Bajaj Auto has broken out of a triangle pattern on the daily chart and is showing strength, with buying seen across the auto sector. The stock is holding well above its 50 DEMA and showing stability.

Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.​​

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