Next Week’s Trading Watchlist: 10 Nifty 50 Stocks Crossing 20-DMA with Strong RSI & Fundamentals

Introduction:

As we enter a new trading week, momentum is building in several blue-chip counters. A key technical signal that many traders rely on is the 20-day moving average (20-DMA) crossover, which often indicates early bullish sentiment. But what makes a breakout reliable is when it’s backed by a healthy RSI (Relative Strength Index) and solid fundamentals.

In this curated list, we highlight 10 Nifty 50 stocks that meet all three criteria:
Crossed their 20-DMA
RSI in the bullish zone
Strong earnings, balance sheet, and market position

These are your top watchlist candidates for the upcoming week.

1. Infosys Ltd. (INFY)

CMP: ₹1,480
20-DMA: ₹1,463
RSI: 59
Technical Setup: MACD bullish crossover; price reclaiming previous swing high
Fundamentals:
- PE: 22.1 | ROE: 30.3%
- Debt-Free | Q4 PAT Growth: +8.9% YoY
Takeaway: Re-rating likely on digital deal wins and stable margins.

2. HDFC Bank Ltd. (HDFCBANK)

CMP: ₹1,515
20-DMA: ₹1,480
RSI: 53
Technical Setup: Breakout from sideways consolidation; improving volume
Fundamentals:
- PE: 18.5 | NIM: 3.6%
- CASA Ratio: 42% | GNPA: 1.2%
Takeaway: Attracting fresh interest after the merger integration phase.

3. Tata Steel Ltd. (TATASTEEL)

CMP: ₹158
20-DMA: ₹153
RSI: 62
Technical Setup: Volume breakout; uptrend continuation
Fundamentals:
- PE: 9.7 | Dividend Yield: 2.2%
- Europe stabilization & India demand tailwind
Takeaway: Beneficiary of global commodity revival and domestic infra push.

4. Asian Paints Ltd. (ASIANPAINT)

CMP: ₹3,140
20-DMA: ₹3,088
RSI: 55
Technical Setup: Bollinger Band squeeze breakout; reversal from support
Fundamentals:
- ROCE: 35% | PE: 50.5
- Consistent earnings, rural market focus
Takeaway: Defensive play is a comeback.

5. Bajaj Finance Ltd. (BAJFINANCE)

CMP: ₹7,220
20-DMA: ₹7,000
RSI: 60
Technical Setup: Flag breakout; buying from strong hands
Fundamentals:
- AUM Growth: +31% | ROE: 23%
- GNPA: 0.37% | High customer additions
Takeaway: Strong performer in NBFC space—rally backed by growth.

6. Mahindra & Mahindra Ltd. (M&M)

CMP: ₹2,212
20-DMA: ₹2,175
RSI: 64
Technical Setup: Rising trendline support intact; bullish continuation
Fundamentals:
- PE: 22.3 | EV Sales Growth: +93%
- Strong SUV sales; agri sector rebound
Takeaway: Top auto pick riding on both EV and rural themes.

7. Sun Pharmaceutical Industries Ltd. (SUNPHARMA)

CMP: ₹1,517
20-DMA: ₹1,490
RSI: 58
Technical Setup: RSI breakout; supported by MACD strength
Fundamentals:
- PE: 32.7 | ROE: 21%
- R&D Focus | Strong India + US Revenue
Takeaway: Pharma stability play with global exposure.

8. Larsen & Toubro Ltd. (LT)

CMP: ₹3,700
20-DMA: ₹3,590
RSI: 56
Technical Setup: Breakout retest successful; near ATH levels
Fundamentals:
- Order Book: ₹4 lakh Cr+ | ROCE: 15%
- Net Debt/Equity: 0.3 | Infra growth catalyst
Takeaway: Infra and defence major well-positioned for next leg of rally.

9. Hindustan Unilever Ltd. (HINDUNILVR)

CMP: ₹2,345
20-DMA: ₹2,315
RSI: 52
Technical Setup: Base building after long correction
Fundamentals:
- PE: 57 | EBITDA Margin: 25%
- Premium product segment up 18%
Takeaway: Defensive stock quietly regaining strength—watch for re-entry.

10. Power Grid Corporation of India Ltd. (POWERGRID)

CMP: ₹295
20-DMA: ₹285
RSI: 60
Technical Setup: Strong support at 50-DMA; golden crossover forming
Fundamentals:
- Dividend Yield: 4.3% | ROE: 19.4%
- Green transmission focus, predictable earnings
Takeaway: Attractive for income + slow momentum portfolios.

Final Words:

These 10 Nifty 50 stocks are not just names flashing on the screen—they're technically primed and fundamentally solid, making them ideal candidates for next week’s trading and investing watchlist.

Use these insights for:

Setting up short-term trades with RSI and 20-DMA cross-check
Adding conviction to long-term positions
Avoiding false breakouts through fundamental filters

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