Bank Nifty declines 350 pts from day's high amid profit booking; AU SFB, SBI lead losses: Check key trading levels

Bank shares see profit booking in trade.

• Bank Nifty drops 350 points from day's high on profit booking.
• AU Small Finance Bank and SBI led losses in the banking index.
• Index closed at 61,047, down 0.35 percent for the day.

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The Bank Nifty index declined over 350 points from the day’s high on Wednesday amid profit booking, with AU Small Finance Bank and State Bank of India leading the losses.

The banking index rose to an intraday high of 61,317.55 but slipped more than 350 points to trade around 61,004.95 at about 3 pm.

The index extended losses for the second straight session after ending lower in the previous trade.

AU Small Finance Bank was the top laggard on the index, falling up to 2 percent. State Bank of India declined 1.74 percent, while Union Bank of India was down 0.76 percent.

Other constituents such as IDFC First Bank, Kotak Mahindra Bank, Yes Bank and Punjab National Bank fell up to 1 percent.

The Nifty PSU Bank index was also down up to 1 percent amid profit booking.

Nifty Bank - Key levels to watch 

Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities, said "The 61,300–61,320 zone acted as a strong intraday resistance during the initial hours of trade. Subsequent selling pressure pulled the index lower, with Bank Nifty coming close to the previous day’s swing low of 60,802 and closing slightly higher towards the close. The daily RSI also failed to sustain above the 60 mark and turned lower, suggesting a pause in the ongoing bullish momentum."

"For Bank Nifty, the immediate resistance is placed in the 61400–61500 zone. Any sustainable move above this zone could result in Bank Nifty extending its up move towards 62000, followed by 62500 in the short term. On the downside, the zone of 60800–60700 zone is likely to act as an immediate support," he added.

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