KFintech, Affle 3i: Two breakout ideas from Angel One

Technical analyst Hitesh Rathi of Angel One has identified KFintech and Affle as two stocks with bullish technical setups and potential upside.

Disclaimer: This article is written by Hitesh Rathi, technical analyst - equity & derivatives, Angel One. Views expressed are his own. Readers' discretion is advised.

 

The domestic equity market ended Friday on a largely steady note, with the benchmark indices showing limited movement. The BSE Sensex added 3.11 points to close at 77,540.83, while the NSE Nifty 50 settled at 24,252.00, gaining 20 points, or 0.08 per cent. In the broader market, the Nifty Midcap 100 and Nifty Smallcap 100 finished 0.10 per cent and 0.69 per cent higher, respectively, while sectoral indices on the NSE ended mixed, with Nifty Metal and Nifty Private Bank among the top gainers.

 

 

Amid this market setup, technical analysis points to two stocks that are showing encouraging bullish formations and potential for further upside. Kfintech and Affle have displayed multiple positive signals across Renko and Point & Figure charts, supporting a constructive view on both counters.

 

Stocks To Buy: Recommendations by  Hitesh Rathi, Angel One

KFintech

KFintech is showing a bullish technical setup following a breakout from the 930–920 range. The stock has now triggered a multi-brick breakout on its Daily 1 per cent Renko chart, with a bullish one-back formation adding further strength to the setup. The positive bias is also visible on the 0.25 into 3 and 1 per cent into 3 Point & Figure charts, where the stock has generated a follow-through buy following a bear trap and a double-top buy signal. With these bullish price formations emerging after a pattern retest and supportive Point & Figure formations, the overall trend remains favourable. The recommendation is to buy KFintech around ₹980–976, with a stop loss at ₹921 and a target of ₹1,090–1,100.

Affle

Affle is also displaying a strengthening bullish structure across its technical charts. The stock has formed a Bullish Strike-Back pattern on its 3 per cent Daily Renko chart and subsequently triggered a Bullish W-Pattern breakout, reinforcing the positive setup. On the Daily 1 per cent chart, the invalidation of the earlier Bearish Swing Engulfing pattern indicates a gradual shift in control from sellers to buyers, which has been further confirmed by a Follow-Through Swing Breakout. The bullish undertone is additionally supported by the 1 per cent into 3 Point & Figure chart, where Affle has triggered a Double Top Buy while invalidating a previous Bearish 100 per cent Pole. Based on these signals, the recommendation is to buy Affle around ₹1,710–1,700, with a stop loss at ₹1,575 and a target of ₹1,990–2,000.