It says that ‘After all the doldrums and whipsaws things got back on track where they all were started’. The index witnessed long liquidations on a strong note on the Election Day but started to gain momentum in today’s session and trading near the psychological resistance of 11,800 levels. PSU banks that have been the flavor of the year continued to witness more upside and have gained 4.45% in today’s session. On daily scale, the index has witnessed a steep rally after forming a ‘Breakaway Gap’ which act as a strong support for the counter. The index had a gap up opening today and continued to dance on the tunes of bulls. The counter is expected to find potential resistance near 33,454 levels. Awesome oscillator has given a bullish crossover while RSI is trading near 62.36 levels. Although Average True Range and RSI are not the only indicators to dictate the future prices, one can make use of other tools like Fibonacci, Andrew Pitchfork, Chart and Candlesticks Patterns.
Some stocks of this counter are also witnessing heavy volumes and momentum that are convincing the emerging trend.
- Bank of India: Top gainer in today’s session is trading at 95.6. 7.30% above from its previous close. The bank is trading above 50 days Exponential moving Average. The bank has reported a net profit of Rs. 251.8 crores in quarter ended March, 2019. NII income rose 57.7%.
- Union Bank of India: The stock is trading at 74.65, 6.64% above from its previous close. The bank has announced that it will raise 6,000 crores in this fiscal year. The bank is expecting 3,000-3,500 crores of recoveries from National Company Law Tribunal.
- Bank of Baroda: India’s pioneer PSU bank is trading at 135.05, 5.92% above from its previous close. There has been a block deal of 558,123 shares on May 21, 2019. The banks net profits narrowed to 991.4 crores. Asset quality has been improved this fiscal year.