Nifty Bank outperforms, closes above 43,500; how to trade on Friday
Nifty Bank index bounced back on Thursday supported by buying seen in key index heavyweights such as HDFC Bank, SBI.
The index rose over 100 points to close at 43,577. It hit an intraday high of 43,649 and an intraday low of 43,451.
The Nifty50 index closed flat with a negative bias at 19,802.
Top index gainers include Federal Bank, IDFC First Bank, and IndusInd Bank which closed with gains of over 1% each. Kotak Mahindra Bank and Bank of Baroda closed lower.
The index witnessed support-based buying on Thursday and now the immediate resistance is placed around 43,700 levels, suggested experts.
The Nifty Bank index is trading below the 5,10,30 and 50-DMA on the daily charts but above 200-DMA, which is placed at 43,307.
“Bank Nifty after witnessing around 1,200 points correction has found support around 43,200, which coincides with the 200-DMA and has started the pullback of the fall,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.
“We expect it to continue till 44000 – 44200.
On the downside, 43300 is the crucial support that should not be breached for the pullback to continue,” he said.
Key Level To Track
The Nifty Bank index witnessed some selling pressure above 43,600 levels, which became a crucial resistance for Friday’s trade as well. On the downside, 43400-43300-43200 levels are crucial support levels to track.
«The Bank Nifty index maintained its sideways momentum, crucially holding the support level at 43,300, which stands as a make-or-break point for the index,” Kunal Shah, Senior Technical & Derivative analyst at LKP Securities, said.
“The immediate hurdle for further upside is positioned at 43,700, and a breakthrough above this level is anticipated to lead to additional
