Bajaj Broking Research Unveils Top Stock Recommendations for February 2026
In its latest market analysis, Bajaj Broking Research has identified IndusInd Bank and UPL as the top stock recommendations for February 20, 2026, with a three-month investment horizon. The brokerage firm has also shared detailed technical outlooks for the Nifty and Bank Nifty indices, highlighting key support and resistance levels amid current market conditions.
Nifty Outlook: Bearish Signals and Key Support Zones
The Nifty index has formed a sizable bearish candle on the daily chart, slipping below the lower boundary of the 25,500–26,000 consolidation range. This movement indicates a decisive loss of short-term momentum, with the sharp decline bringing the index close to its previous swing low. As a result, the near-term bias has shifted to cautious, signaling the need for stability at lower levels.
Technically, Nifty has broken below both the 50-day Exponential Moving Average (EMA) and the 21-day EMA in a single move, reflecting strong selling pressure. The 200-day EMA, positioned near 25,200, now emerges as the next crucial short-term support zone. However, this level appears vulnerable if follow-up selling persists in the coming sessions.
On the downside, immediate supports are seen at 25,350 and 25,000, which may act as key cushions in case of further weakness. On the upside, resistance is placed at 25,650, followed by 25,720, where any pullback is likely to encounter selling pressure.
Bank Nifty Outlook: Profit Booking and Range-Bound Trading
The Bank Nifty index surrendered most of the gains from the previous two sessions, forming a large bearish engulfing candle on the daily chart. This pattern indicates strong profit booking near all-time high levels, with the index witnessing sharp selling from the highs and closing near the day's low, reflecting sustained weakness throughout the session.
The 21-day EMA, placed around 60,300, emerges as a key level to monitor, as the index has found support near this average on multiple prior occasions. Immediate support is seen at 60,300, followed by 60,000. On the upside, near-term resistance is positioned at 61,500 and 61,750.
In the near term, Bank Nifty is likely to trade within a broad range of 60,000–61,500. A decisive breakout on either side could trigger fresh directional momentum, making this a critical zone for investors to watch.
Stock Recommendations: Detailed Analysis
IndusInd Bank
Buy Range: ₹920-930
Target: ₹1,060
Stop Loss: ₹880
Expected Return: ~14%
Time Period: 3 Months
On the weekly chart, IndusInd Bank shows a steady recovery after a prolonged downtrend, with the price holding above the 21 EMA, indicating improving momentum. The stock appears to be forming a rounding base and is now consolidating near the 900–950 zone after a gradual upward move.
The rising 21 EMA is acting as immediate support, while the Relative Strength Index (RSI) near the 50–60 range reflects neutral-to-positive strength. Immediate resistance is placed at 950–980, followed by 1,060, which aligns with the 200-week EMA. On the downside, supports are seen at 880–860.
UPL
Buy Range: ₹750-765
Target: ₹830
Stop Loss: ₹728
Expected Return: ~9%
Time Period: 3 Months
UPL has displayed strong bullish momentum on the daily chart, forming a positive candle while sustaining a clear pattern of higher highs and higher lows, indicating a strengthening upward trend. The stock has also delivered a swing breakout supported by a noticeable rise in trading volumes, reflecting improving buying participation and reinforcing the positive price structure.
Additionally, UPL has started to move above its 21-week EMA, indicating a short-term positive bias. Technically, this breakout offers a favorable risk–reward opportunity on the long side. As long as the stock sustains above key support levels, momentum is likely to remain intact. Going forward, the stock is expected to move towards the ₹830 mark, which coincides with its previous all-time high and acts as the next major resistance zone. A strict stop loss should be maintained near ₹728 to manage downside risk effectively.
Disclaimer: Recommendations and views on the stock market, other asset classes, or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India.
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