Bank Nifty nears 61,000 as SBI shares rally 7% after strong Q3 results: Check key levels

Bank Nifty

• Nifty Bank index up 1%, SBI jumps 7% to 52-week high
• SBI posted record quarterly profit and 9% YoY growth in net interest income.
• Key support for Bank Nifty is 59,800; resistance at 60,500 and 61,000 levels

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The Nifty Bank index rose more than 1 percent on February 9, with the shares of heavyweight SBI leading gains. Analysts have highlighted key levels to watch out for the banking index.

The Nifty Bank index rose 756 points to 60,876.20 on Monday, extending gains for the second consecutive session.

Why are SBI shares rallying today?

State Bank of India (SBI) shares were the top gainers on the index, rallying 7 percent to hit a fresh 52-week high of Rs 1,143.70 apiece. This came after the public lender’s Q3 results surpassed expectations. Several brokerages raised their target prices for the stock.

SBI on February 7 reported a 24.49 percent year-on-year (YoY) rise in net profit after minority interest at Rs 21,028.15 crore for the October-December quarter of the ongoing financial year 2026. This is the highest-ever quarterly net profit reported by the banking behemoth.

The public lender’s net interest income (NII) meanwhile grew 9 percent YoY to Rs 45,190 crore during the quarter under review from Rs 41,445 crore in the year-ago period, reflecting steady growth in core lending income.

SBI shares were among the top gainers on benchmark indices Sensex and Nifty, as well the Nifty PSU Bank index which itself was up more than 3 percent.

Other bank stocks:

IndusInd Bank shares meanwhile gained 2.5 percent, as seen at 2.30 pm, while Kotak Mahindra Bank, Yes Bank, Union Bank of India and AU Small Finance Bank shares gained more than 1 percent each.

Bank of Baroda and Punjab National Bank (PNB) shares gained around 1 percent each, while Canara Bank and Axis Bank shares were trading in the green with marginal gains. Bucking the trend, Federal Bank, IDFC First Bank, HDFC Bank and ICICI Bank shares were trading in the red with marginal losses.

Key levels to watch out for:

Bank Nifty ended the previous week on a strong note despite heightened volatility driven by major macro events, including the Union Budget 2026, US–India trade developments, and the RBI’s MPC meeting.

Technically, the index displayed strength by sustaining above the key psychological resistance of 60,000, indicating improving market confidence and structural support formation, said Aakash Shah, Technical Research Analyst at Choice Broking. He however added that a failure to hold above 59,800 could trigger a corrective move toward the 59,600–59,400 zone, with the risk of further downside extension if selling pressure intensifies.

“On the upside, immediate resistance is placed at 60,500, followed by 61,000 and 61,400. The weekly RSI at 55.99 suggests moderate bullish momentum with scope for further upside without overbought conditions. Nevertheless, Bank Nifty continues to trade below its 20-day, 50-day, and 200-day EMAs, indicating overhead supply and a broader trend that has not yet turned decisively bullish,” he said.

A sustained close above 60,500 would reaffirm bullish momentum, while failure to hold this level may invite short-term weakness, the analyst explained. He advised that traders should remain constructive yet disciplined, closely monitoring 59,800 as key support and 60,500 as critical resistance for directional cues.

According to Shrikant Chouhan, Head Equity Research at Kotak Securities, the 50 and 20-day SMAs at 59,500 would be key support zones for Bank Nifty. Above these levels, the index could retest 60,500 and 61,000-61,300. On the flip side, below 59,500, sentiment could change.

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