Trade Spotlight: How should you trade Infosys, Tata Consumer Products, Cummins India, Mphasis, Swiggy, FACT, Bikaji Foods, and others on August 21?

Tata Consumer has given a breakout from a falling wedge pattern on the daily chart, indicating a bullish reversal. It has also crossed above all key short-term and long-term moving averages, further strengthening the positive outlook. We anticipate the stock to surpass the immediate resistance at Rs 1,110 and move towards the Rs 1,170 level in the near term.

Strategy: Buy

Target: Rs 1,170

Stop-Loss: Rs 1,068

Jindal Steel and Power | CMP: Rs 1,016.3

Jindal Steel continues to find support along its rising trendline and recently achieved a multi-month breakout above the Rs 1,008 level. It is trading firmly above all key short-term and long-term moving averages, reflecting strong underlying strength. Moreover, momentum indicators and oscillators on the daily chart have confirmed a bullish crossover, reinforcing the positive bias. Given this setup, we expect the stock to move towards a new all-time high near Rs 1,100 in the near term.

Strategy: Buy

Target: Rs 1,100

Stop-Loss: Rs 975

Cummins India | CMP: Rs 3,318.4

Cummins India is forming a saucer bottom pattern on the chart, signaling a gradual accumulation phase and potential trend reversal. On the derivatives front, a strong buildup of long positions indicates positive market sentiment. Furthermore, momentum indicators and oscillators remain in buy mode on both the daily and weekly charts. Considering this technical setup, the stock is poised for continued upside in the short term, and adopting a buy-on-dips approach is advisable.

Strategy: Buy

Target: Rs 4,100

Stop-Loss: Rs 3,650

Sudeep Shah, Head - Technical Research and Derivatives at SBI Securities

Mphasis | CMP: Rs 2,835.5

On Wednesday, the Nifty IT index emerged as a clear outperformer among frontline indices, registering a robust gain of over 2.7%. This marks a significant technical development, as the index has decisively crossed above its 20-day EMA for the first time since July 9, indicating a potential shift in short-term momentum.

Among individual stocks, Mphasis stood out with a breakout from a symmetrical triangle pattern on the daily chart. This breakout is backed by a noticeable increase in trading volumes, lending credibility to the move and suggesting strong market participation.

Technically, the stock is now trading above both its short-term and long-term moving averages. Momentum indicators are also supporting the bullish narrative. The daily RSI is on the verge of crossing the 60 mark, and its upward trajectory reflects improving strength in price action. This confluence of price breakout, volume confirmation, and supportive trend and momentum indicators suggests that Mphasis may be poised for further upside in the near term. Hence, we recommend accumulating the stock in the Rs 2,840-2,820 zone.

Strategy: Buy

Target: Rs 3,050

Stop-Loss: Rs 2,740

Swiggy | CMP: Rs 421

Swiggy marked a swing high of Rs 429.90 on July 24, and thereafter witnessed a minor correction. During this phase, volume activity remained mostly below average—indicating a lack of aggressive selling pressure and suggesting the correction was a healthy consolidation. The correction halted near the 100-day EMA, after which the stock has resumed its upward movement.

Currently, Swiggy is on the verge of a Stage-2 Cup pattern breakout on the daily chart—a bullish continuation pattern that typically signals the start of a fresh uptrend.

Notably, Wednesday’s trading session saw volumes rise above the 50-day average, a sign of accumulation and growing investor interest ahead of the breakout. Technically, the stock is trading above all its key moving averages, which are aligned in a bullish sequence, further reinforcing trend strength. Momentum indicators are supportive—the daily RSI is in bullish territory and continues to rise, indicating improving price strength. Hence, we recommend accumulating the stock in the Rs 425-420 range.

Strategy: Buy

Target: Rs 460

Stop-Loss: Rs 408

FACT | CMP: Rs 1,014.5

Fertilizers and Chemicals Travancore has shown encouraging price action by establishing a strong base near its 100-day EMA, which acted as a key support during the recent consolidation. Following this base formation, the stock witnessed a sharp rebound, supported by higher-than-average volumes—indicating renewed buying interest and improving sentiment.

Currently, the stock is trading over 10% above its 100-day EMA and more than 12% above its 200-day EMA, underscoring the strength of the ongoing uptrend. This significant distance from key moving averages reflects strong bullish momentum, suggesting the stock is comfortably within a well-defined upward trajectory.

Adding to the positive setup, the daily RSI has surged past the 60 mark for the first time since June 2025, signaling a shift in momentum and validating the current rally. Hence, we recommend accumulating in the Rs 1,020-1,010 zone.

Strategy: Buy

Target: Rs 1,100

Stop-Loss: Rs 980

Rupak De, Senior Technical Analyst at LKP Securities

Infosys | CMP: Rs 1,496

For the first time in several sessions, Infosys managed to reclaim the 21-EMA on the daily chart. Following the recent correction, the stock has shown a healthy uptick, accompanied by decent volumes. The RSI has formed a hidden positive divergence on the daily timeframe. Based on this technical setup, the uptrend is expected to continue in the short term.

Strategy: Buy

Target: Rs 1,600

Stop-Loss: Rs 1,460

Bikaji Foods International | CMP: Rs 797.4

Bikaji Foods has moved higher after a brief correction on the hourly timeframe. It has also given a swing high breakout on the daily chart, indicating the possibility of a strong price move. The RSI is in a bullish crossover and is trending higher. Based on this technical setup, the stock’s uptrend is expected to continue in the short term.

Strategy: Buy

Target: Rs 850

Stop-Loss: Rs 774

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