Banking stocks have rallied up to 80 percent in the last one year on reform push. In fact, the S&P BSE Banking index has risen nearly 16 percent so far in 2017, led by gains in Federal Bank, Yes Bank, PNB, SBI, IndusInd Bank.
Shardul Kulkarni of Angel Broking feels that Bank of Baroda may slip to Rs 440. “On the lower side 10,000 is now acting as a support and 10,500 is acting as a resistance for Bank Nifty,†he adds.
Banking shares rose after the Reserve Bank of India (RBI) cut the repo rate by a higher-than-expected 50 basis points, while keeping the cash reserve ratio (CRR) unchanged.
Due to external factors, Anu Jain of IIFL Private Wealth Management advices traders to be cautious around the 4850-4960 level on the Nifty.
Enough evidence suggesting that the 4,700 levels is a possibility, said Anil Manghnani of Modern Shares & Stock Brokers. But, he remains more concerned about the stocks rather than the index front. Moreover, he suggested buying Yes Bank from a trading point of view, but seemed worried about Axis Bank, ICICI Bank and State Bank of India.
Anu Jain, Senior vice president at IIFL Private Wealth Management joins CNBC-TV18 to give her outlook of the market on a medium-term. She says that until mid-September, volatility is going to be horrendous and therefore, it is best to lay off aggressive trading.