Nifty Bank rallies more than 6,00 points; immediate resistance placed at 46K next week
Nifty Bank rallied more than 600 points on Friday but closed the week with a loss of 0.73%.
The Nifty Bank rose 622 points to 45,634 or 1.38% on Friday. The Nifty50 closed 64 points higher at 21,782.
Axis Bank, ICICI Bank, SBI, and Bank of Baroda led the gains while some profit-taking was seen in PNB.
The Nifty Bank managed to surpass critical resistance placed around 45,500 levels which is a positive sign for the bulls. The index now faces the immediate hurdle around 46,000, suggest experts.
«The Bank Nifty bulls exhibited strength as they successfully defended the crucial support level of 45,000, establishing it as a critical support zone,” Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities, said.
“The index is currently in a „buy on dip“ mode, and as long as the mentioned support holds on a closing basis, the bullish sentiment remains intact,” he said.
“Looking ahead, the immediate resistance on the upside is situated at 46,000, and a decisive break above this level is anticipated to trigger further short covering moves in the market,” recommended Shah.
The Nifty Bank opened marginally lower, but it quickly built momentum to surpass 45,000-45,500 levels. The index hit an intraday high of 45,718.
The pullback from 45,000 support suggests that bulls are here to stay but 46,000 will be a critical resistance for Nifty Bank in the coming week, highlighted experts.
“Bank Nifty was the lead performer in today’s trading session. It closed with handsome gains,” Jatin Gedia – Technical Research
