Rahul Mohindar of Viratechindia.com told CNBC-TV18, "Pharma as well as banking are likely to be the worst hit if the fall comes into the market. If one looks at Axis Bank, State Bank of India, ICICI Bank with the last 6-7 days of recovery that one saw in stocks - not only were they good recoveries, but the volumes have really declined with every move up. That is definitely worrying; we would have liked to see better participation."
"This whole trend of rising prices with declining volume is certainly interpreted as a weak signal technically. The fact that they are really near resistance levels makes me believe that if I am looking for the next 7 to 10 percent window on the bank stocks or for that matter on the Bank Nifty, the odds on the downside are definitely much larger. There is a lot to happen in terms of an upward breakout for this view to really change. Banking is weak and one could initiate fresh shorts there," he added.
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