Mumbai, June 6 (IANS) As private bank stocks recovered sharply this week, a Goldman Sachs (NYSE:GS) analysis has said this offers opportunities to investors to "accumulate" private bank stocks.The global brokerage firm said in a note that the fundamentals are more important than the narrative and "we continue to favour private banks over PSUs".
The Bank Nifty index saw a sharp recovery from its 200-day moving average, closing above its rising trendline on Wednesday.
Shares of HDFC Bank (NS:HDBK), ICICI Bank (NS:ICBK), Axis Bank (NS:AXBK), IndusInd Bank (NS:INBK), and Federal Bank (NS:FED) surged up to 8 per cent in the last two days.
Nifty Bank went up 2,126 points, or 4.53 per cent, to close at 49,054 on Wednesday. On Thursday, Nifty Bank was hovering around 49,080.
The Bank Nifty index saw a sharp recovery from its 200-day moving average, closing above its rising trendline and 21-day exponential moving average (EMA).
"This suggests a buy-on-dip strategy with a stop-loss at 47500. The immediate support level is 47,800, while resistance is at 49,500,' according to Rupak De, senior technical analyst, LKP Securities.
Sensex and Nifty remained in positive on Thursday despite some volatility in early morning trade.
BSE Midcap and Smallcap indices went up. On the sectoral front, IT, capital goods, metal, oil & gas, power and realty also zoomed.
--IANS
na/svn