Anil Manghnani of Modern Shares & Stock Brokers is of the view that private banks should be avoided for time being.

Manghnani told CNBC-TV18, "I will avoid private banks for the time being. There is too much uncertainty out there; I will probably wait till the next quarter where things become a lot more clear. Even from a technical point of view they have broken through some serious levels especially Kotak Mahindra Bank and ICICI Bank. ICICI Bank is clearly eventually going to head towards Rs 694, and maybe in a more disastrous situation Rs 600. Kotak Mahindra Bank I think Rs 583 was crucial, it broke that Rs 555 became crucial it broken that also. But it is very weak I would just avoid you may see the sharp 8-9% trading bounces on gap up opening days. But the fact that after that it goes and makes a new low suggest that there is still a lot of selling left over there".

He further added, "Yes Bank chart is getting weaker it needs to hold Rs 126; it did break briefly last week on Tuesday when it collapsed. But it bounced back on Wednesday, which is fine. But on the next fall it should hold Rs 126, otherwise if it doesn’t it could be headed more towards Rs 100 sort of levels. So keep an eye on Rs 126 for Yes Bank".