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HDFC Bank, ICICI Bank: What do charts indicate for private sector lenders?

With a successful run above the 200-day moving average (DMA), the Nifty Bank is set to climb higher levels. However, once cannot rule out intermittent corrections

Banks
For Axis Bank, volumes have remained subdued but he price is not showing any weakness.
Avdhut Bagkar Mumbai
3 min read Last Updated : Oct 22 2020 | 11:13 AM IST
Most private sector bank stocks were trading in the red in the morning deals on Thursday. The Nifty Private Bank index traded 0.57 per cent lower at 13,553 levels with 6 constituents declining and 4 advancing. Nifty Bank, too, was trading in the negative territory - down nearly 0.5 per cent at 24,525 levels. In comparison, the benchmark Nifty50 index was quoting 0.4 per cent lower at 11,889 levels.

Here is a look at how Nifty Bank and key private sector lenders look on charts.

NIFTYBANK:
 With a successful run above 200-day moving average (DMA), the index is set to climb higher levels. The next upside is above the breakout of 25,000 levels. This mild resistance coincides with the 50-weekly moving average (WMA). The overall trend is bullish and indicates a strong up move towards 26,500 levels. Till the index defends 23,800 mark, the upside bias may see accelerated momentum. CLICK HERE FOR THE CHART
 
HDFC Bank Ltd (HDFCBANK): After a prolonged weakness, the counter managed to rebound and rally towards the resistance of Rs 1,300 levels. The trend is positive with a crossover of 50-DMA, 100-DMA with 200-DMA. The sentiment is bullish with corrective moves to see the addition of longs, as per the daily chart. The immediate support comes in at Rs 1,200 levels. Till Rs 1,150 is held, the bullishness is expected to continue. CLICK HERE FOR THE CHART
 
ICICI Bank Ltd (ICICIBANK): The counter faces resistance in the range of Rs 408 to Rs 416 levels, which are its 50-WMA and 100-WMA, respectively. The stock is resilient and doesn't appear to succumb to any weakness as the Relative Strength Index (RSI) remains firm with a positive crossover. This indicates strength and a likely upward move in the sessions ahead. The immediate support is placed at Rs 400 levels. Till the counter defends Rs 390 on a closing basis, investors can take long positions, weekly chart suggests. The Moving Average Convergence Divergence (MACD) is on the verge of conquering the zero line upward. If that happens, then the sentiment may get even stronger. CLICK HERE FOR THE CHART
 
Axis Bank Ltd (AXISBANK):  As the counter conquers the 200-DMA at Rs 496, the trend indicates movement in the direction of Rs 540 levels. The volumes have remained subdued even though the price is not showing any weakness. Going forward, a closing basis support stays at Rs 470 from a medium-term perspective. If this level is held, the stock may breach Rs 600 levels on the upside.  CLICK HERE FOR THE CHART
 
IndusInd Bank Ltd (INDUSINDBK): Although this counter is slightly showing signs of bullishness as per the daily chart, yet the volatility is not in favour of a rally from here on. The overall trend is bullish till the stock trades above Rs 544, which is its 100-DMA from a medium-term perspective. However, on the higher side, the 200-DMA placed at Rs 675 is a strong resistance. The MACD is trading above the zero line. This shows positive outlook for the counter.  CLICK HERE FOR THE CHART


Topics :HDFC Bank sharesNifty Bank indexBuzzing stocksStock to watchIndusInd Bank

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