Indian equity/stock market ended with steep losses on Friday as Coronavirus cases showed no signs of abating while negative global cues further impacted sentiments.
S&P BSE Sensex slipped 674.36 points at 27,590.95.
Nifty 50 index shed 170 points at 8,083.80.
On the BSE, 1140 shares rose and 1099 shares fell.
In Nifty 50 index, 19 stocks advanced while 31 stocks declined.
IHS Markit announced Purchasing Managers’ Index (PMI) numbers for India yesterday. The headline seasonally adjusted IHS Markit India Manufacturing PMI fell from 54.5 in February 2020 to 51.8 in March 2020. Weighing on the headline figure was slowdown in production growth during March.
Banking stocks faced serious selling pressure. Among the private sector banks, RBL Bank (down 15.65%), Axis Bank (down 9.35%), IndusInd Bank (down 8.69%), Bandhan Bank (down 7.26%), City Union Bank (down 4.13%), Kotak Mahindra Bank (down 3.56%), Federal Bank (down 3.03%) and HDFC Bank (down 1.87%) declined. Continue reading India Market Report – 03Apr2020 →
Axis Bank has been very resilient in last 6 months, and has shown very strong support at 700 level. At the same time, there is also a strong resistance at 760 level. The daily chart of Axis Bank is bullish and the stock is looking for a breakout above 760.
The stock is currently undergoing major consolidation at 700-750 band, which means whenever it breakout, there will be 10-20 percent upmove with target 860-900.
Axis Bank is a top pick for India Investors, and will give good gains once economic recovery starts in India. Investors can accumulate Axis Bank on all corrections till 620, but not below 620. Traders can keep buying above 700 for target 750. Fresh long positions should be added above 760 for target 800-860.
We are seeing lots of news about the Indian banking industry in the domestic as well as in overseas markets. The Indian Budget 2010-11 has mentioned new banking licenses, which means we will see new players and hence more competition, and better savings and lending rates, which is better for the consumers and borrowers.