AB Capital, VBL, Sonata Software & Oberoi Realty: Axis Securities sees up to 20% rise in these stocks

Domestic brokerage firm Axis Securities has picked four stocks, namely - Aditya Birla Capital, Oberoi Realty, Sonata Software and Varun Beverages- in its weekly report. These stocks are headed for an upside of up to 18 per cent on a technical basis, said the brokerage. Investors can initiate a trade in these counters on a positional basis, with a view of 3-4 weeks, the analysts said in its report. Here's what Axis Securities said about these stocks:

| Aditya Birla Capital | Target Price: Rs 170-177 | Stop Loss: Rs 140 | Upside Potential: 13-18% |

AB Capital on the weekly chart has decisively broken out above the 'falling channel' at Rs 146 with a strong bullish candle indicating a positive bias. The breakout is accompanied by an increase in volume confirming participation at the breakout level. The stock holds above 38 per cent Fibonacci Retracement of a rally from Rs 85-162 placed at 132 forming a medium-term support zone. The weekly strength indicator RSI is in bullish mode and the weekly RSI crossover above its reference line generated a buy signal. The above analysis indicates an upside of Rs 170-177 levels.

| Varun Beverages | Target Price: Rs 1,490-1,530 | Stop Loss: Rs 1,275 | Upside Potential: 11-14% |
Varun Beverages on the weekly chart has decisively broken out above the 'consolidation zone' between Rs 1,350-1,120. The stock holds above 38 per cent Fibonacci Retracement of a rally from Rs 540-1,432 placed at Rs 1,100 forming a medium-term support zone. The stock is holding above the lower band of the medium-term rising channel. It is heading towards the upper band of the rising channel. The weekly strength indicator RSI is in bullish mode and weekly RSI crossover above its reference line generated a buy signal. The above analysis indicates an upside of Rs 1,490-1,530 levels.

| Sonata Software | Target Price: Rs 850-885 | Stop Loss: Rs 720 | Upside Potential: 11-16% |

Sonata Software on the weekly chart has decisively broken out above the 'rounded bottom' pattern at Rs 750 level indicating a positive bias. The breakout is accompanied by an increase in volume confirming participation at breakout level. The stock is forming a higher high-low on the weekly chart. This formation indicates a positive uptrend. The weekly strength indicator RSI is holding above its reference line indicates positive momentum. The above analysis indicates an upside of Rs 850-885 levels.

| Oberoi Realty | Target Price: Rs 970-990 | Stop Loss: Rs 835 | Upside Potential: 10-13% |

Oberoi Realty on the weekly chart has decisively broken out above the 'falling channel' at Rs 880 with a strong bullish candle. The stock also broke out above the 'double bottom' pattern on the daily chart indicating a positive bias. The stock is well placed above 20, 50, 100 and 200 daily SMA indicating positive momentum. The weekly strength indicator RSI is holding above its reference line indicates positive momentum. The above analysis indicates an upside of Rs 970- 990 levels.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today.)

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