Bank Nifty 20th Jan 2016
Bank Nifty today did give a relief rally and most of the Bank Nifty constituents were up in the green today. Overall we do not see any significant out performance from Bank Nifty / Banking sector as a whole. There are few exceptions like IDBI Bank but beyond IDBI Bank we do not see any great out performance from most of the Banking stocks both Private sector banking and public sector banking.
Axis Bank comes out with its Q3FY16 results tomorrow and we do not expect it to be great set of numbers, so short term traders please be careful in Axis Bank. There is a possibility that Axis Bank could test 360 in the next 2 trading days so extreme caution is advised in Banking sector and especially Axis Bank.
We maintain our view to totally skip this sector for now as longer term charts do not inspire any confidence and charts have broken some major supports and does not look good at all. Most of the charts have been making consistent lower tops and lower bottoms and till that structure does not change please avoid this sector totally.
Good Trading To You!