HDFC Bank, IDFC First Bank, ICICI Bank, Bank of Baroda and Bandhan Bank fell between 1-3%.
The bank index failed to hold on to its crucial support placed around 48,000 and the next big support is placed at 47,400 levels, suggested experts.
“Bank Nifty also witnessed a correction and closed down ~791 points. The next crucial Fibonacci support is placed at 47,443, which also coincides with the 20-day moving average,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.
“Thus, 47,400 – 47,300 is the crucial support zone while 48,250 – 48,300 is the immediate hurdle zone from a short-term perspective. Minor degree bounce backs should be used as a selling opportunity,” he said.
The index opened lower but above 48,000 but as the session progressed the selling pressure continued, which pushed the index towards 47,700 levels.It recouped some losses but closed around its intraday low amid rising geopolitical concerns. A close below 47,400 could fuel further selling pressure while resistance is placed at 48,000.”The Bank Nifty Index opened with a gap down due to Middle East escalation, ending the trading day at its lowest point,” said Bhavik Patel- Senior Research Analyst, Tradebulls Securities.
“Compared to Nifty, which closed at the lowest point in April, Bank Nifty closed at its one-week low. Support is within range of its 20 DEMA, which is around 47,730 range,” added Patel.
“A breach below the 20 DEMA level could lead to levels of 47,450 and 47,140. On the higher side, 48,090 and 48,480 could pose the next hurdles for the index,” he recommended.
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)
