Indian equity benchmarks closed flat with a positive bias on August 21 following range-bound trading, while market breadth remained slightly favourable. Around 1,580 shares advanced against 1,478 declining shares on the NSE. Technical analysts expect the broader upward bias to continue, although the market could remain range-bound in the near term as investors track the ability of key indices to move above their short-term moving averages.

Hitesh Rathi, Technical Analyst Equity and Derivatives at Angel One, identified bullish setups in KFin Technologies, DLF and Affle 3i.

KFin Technologies was trading around Rs 980 after previously breaking out above the Rs 920 to Rs 930 range. The stock has triggered a multi-brick breakout on its daily 1 percent Renko chart, accompanied by a bullish one-back formation. Its Point and Figure charts also indicate continued strength, with a follow-through buy following a bear trap and a double-top buy signal. The overall setup remains positive after the stock successfully retested its bullish pattern and formed support on Point and Figure charts. Buying is recommended around Rs 980 to Rs 976, with targets of Rs 1,090 and Rs 1,100 and a stop-loss at Rs 921.

DLF has formed support near its 40-brick EMA on the daily 1 percent Renko chart and subsequently triggered a multi-brick breakout from its consolidation phase. The move resembles a pole and flag breakout on the candlestick chart and follows a rally of more than 35 percent over the past four months, suggesting a potential continuation of the broader uptrend. Point and Figure charts have also confirmed improving strength, with the stock triggering a triple-top buy after forming a support pattern. Buying is recommended around Rs 680 to Rs 675, with targets of Rs 740 and Rs 745 and a stop-loss at Rs 635.

Affle 3i has strengthened its technical setup after forming a Bullish Strike-Back pattern on its 3 percent daily Renko chart and triggering a Bullish W-Pattern Breakout. The stock has also invalidated a previous Bearish Swing Engulfing pattern, indicating a gradual shift in control from sellers to buyers. A subsequent follow-through swing breakout has further confirmed the positive trend. Its 1 percent by 3 Point and Figure chart has also generated a double-top buy while invalidating a previous bearish 100 percent pole. Buying is recommended around Rs 1,710 to Rs 1,700, with targets of Rs 1,990 and Rs 2,000 and a stop-loss at Rs 1,575.

Rajesh Palviya, Senior Vice President Research and Head of Research at Axis Securities, highlighted bullish setups in Action Construction Equipment, IIFL Finance and Kaynes Technology India.

Action Construction Equipment has decisively broken out from a rounded-bottom formation around Rs 1,155 on a closing basis, supported by rising volumes. The stock remains above its 20-day, 50-day, 100-day and 200-day simple moving averages, with the averages also trending higher. Daily, weekly and monthly RSI readings remain favourable, while a weekly Bollinger Band buy signal points to improving momentum. Buying is recommended with targets of Rs 1,260 and Rs 1,330 and a stop-loss at Rs 1,145.

IIFL Finance has registered an all-time high of Rs 687 and remains in a strong uptrend marked by higher tops and higher bottoms. The stock is trading above its 20-day, 50-day, 100-day and 200-day simple moving averages, which are also rising. Daily, weekly and monthly RSI readings remain positive, while daily and weekly Bollinger Band buy signals indicate continued momentum. Buying is recommended with targets of Rs 707 and Rs 730 and a stop-loss at Rs 660.

Kaynes Technology India has undergone a short-term trend reversal, forming higher tops and higher bottoms. The stock is positioned above its 20-day, 50-day and 100-day simple moving averages, while daily and weekly RSI readings remain positive. The stock has also decisively broken above a one-year downward-sloping trendline on a closing basis, confirming a technical breakout. Buying is recommended with targets of Rs 4,000 and Rs 4,100 and a stop-loss at Rs 3,798.

Jatin Gedia, Vice President of Technical Research at Teji Mandi Investment Technologies, identified bullish setups in DCB Bank, ICICI Bank and Swiggy.

DCB Bank has been consolidating for around nine months in an ascending triangle formation, which is considered a trend-continuation pattern under the Elliott Wave framework. The stock recently formed a bullish engulfing candlestick pattern on the weekly chart and closed near the week's high, indicating strong buying interest. The weekly MACD has also generated a fresh positive crossover. The technical pattern has a projected target of Rs 235, with a potential extended target of Rs 269. Buying is recommended with a target of Rs 235 and a stop-loss at Rs 192.

ICICI Bank found buying interest in the Rs 1,390 to Rs 1,400 support zone and closed above the previous three-day high of Rs 1,416, indicating improving short-term strength. On the weekly chart, the stock formed a hammer pattern following a three-week decline, suggesting buying interest at lower levels. It also closed above Rs 1,408, representing its 40-day average, while the weekly momentum indicator has generated a bullish crossover. The stock is expected to maintain a positive bias towards Rs 1,460 and Rs 1,480. Buying is recommended with a stop-loss at Rs 1,390.

Swiggy has started forming higher highs and higher lows on the weekly chart, indicating a potential trend reversal. The stock found buying interest around the Rs 270 to Rs 275 support zone, which coincides with the 50 percent Fibonacci retracement level near Rs 274 and the 40-day moving average. A positive crossover in the weekly momentum indicator further supports the bullish view. On the daily chart, an inside-bar formation makes Rs 275 and Rs 285 key levels to monitor. A move above Rs 285 could trigger an advance towards Rs 299, near the 200-day moving average. Buying is recommended with a target of Rs 299 and a stop-loss at Rs 275.