Market Updates:Bank Nifty Share Price Target for tomorrow

Bank Nifty Share Price
Bank Nifty Share Price


Today we will discuss Stock Market Updates, Bank Nifty future Target, and its share prices. Indian stock market ended in red today, the market dragged by Banking, Financials and Auto sectors. Global cues were not positive today morning hence the Indian stock market started flat to negative. At the end Sensex and Nifty were down almost 0.50 percent. Bank Nifty Index also closed almost 1 percent down today.


Indian retails inflation Consumer Price Index (CPI) for May has increased marginally from 2.92 to 3.05 percent. The increase in retail inflation is because of the increase in Food and Vegetable prices. The IIP data released by the National Statistical Office showed the Index of Industrial Production (IIP) expanded at 3.4% in April from -0.1% a month ago. Growth in Capital goods and Consumer goods are seen in the data report.


Bank Nifty Share Price and Financial Services Today



Bank Nifty shares were down throughout the day except for the last our recovery in some PSU shares. The PSU banking share PNB, BOB closed flat to positive today last hour. Yes Bank was the top loser in the Bank Nifty Index, closed almost 3.44 percent down after another board member resigns. Today the share price of all Pvt banks were closed in the red.


The Financial Services company Indiabulls Housing Finance share traded under pressure, tanks almost 10% after the company moved the Supreme Court seeking an urgent listing of a plea filed against it in which it has been alleged that it misappropriated Rs 98,000 crore of public money. DHFL paid Rs 962 crore interest due on NCD on June 4 in full, DHFL share jumps 3.44 percent today. RCap share price hits 52 weeks low today after the news of its auditor resignation flashed.
Also read, Do you trade in the stock market on Stock News? Avoid five common mistakes to earn money.


Nowadays, Banking and NBFCs share prices are going through tough times. Every now and then we hear about scams or frauds in banking and NBFC sectors. As per the recent RBI data of over 50,000 frauds hit banks in India in the last 11 fiscal year. ICICI Bank, SBI and HDFC Bank reported the highest number of cases in the last 11 years. It has become risky to trade in Bank Nifty Shares.


Bank Nifty Share Prices and Future Target for tomorrow





To know the target of Bank Nifty future price for tomorrow we should understand the weightage of Bank Nifty Shares.
Top constituents by weightage
Company’s NameWeight(%)
HDFC Bank Ltd. 33.05 
ICICI Bank Ltd. 17.90 
Kotak Mahindra Bank Ltd. 13.33 
Axis Bank Ltd. 11.70 
State Bank of India 9.79 
IndusInd Bank Ltd.6.09 
RBL Bank Ltd. 2.10 
Yes Bank Ltd. 2.03 
Federal Bank Ltd.1.58 
Bank of Baroda 1.18 



From the above table, we can see that the two banks HDFC and ICICI have almost 51% weightage in Bank Nifty Index. If we include another two Pvt banks Kotak and Axis then the weightage is above 75%. So to know whether Bank Nifty would be positive or negative we need to follow only these four banks. If these four banks are positive then Bank Nifty would definitely move positively and vice versa.


Technical levels of Bank Nifty Future target for tomorrow





Primary Trend of Bank Nifty Future: Volatile (Bias Down)


Bank Nifty Future Range Bound Trend: All up moves Initiates Profit Booking (Sale) @ 31302, whereas all Down moves Initiate Short  Covering (Buy) @ 30801

If Bank Nifty Future moves above 31060 then you should Buy with 1st Target of 31135 during the day with a Stop Loss of  30970 FOR the Target of 31135- 31211- 31302
If Bank Nifty Future moves below 30970 then you should Sell with 1st Target of 30878 during the day with a Stop Loss of 31045 FOR the Target of 30878-30801-30725

Conclusions:

Tomorrow is weekly expiry of Bank Nifty, the stock market will react to CPI and IIP data which released after market hours today. The market will remain volatile throughout the day and as discussed above you can follow the technical levels given and follow the share price of four Pvt bank to find out the direction of Bank Nifty.
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Happy Investing!

Finogyan Team

Disclaimer-Finogyan has taken due care and caution in compilation of data for its blog. The views and investment tips expressed by investment experts on Finogyan are their own and not that of the website or its management. Finogyan is not SEBI registered Advisors and advises users to check with certified and SEBI registered experts before taking any investment decision. However, Finogyan does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. Finogyan especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website.
Market Updates:Bank Nifty Share Price Target for tomorrow Market Updates:Bank Nifty Share Price Target for tomorrow Reviewed by Finogyan on June 12, 2019 Rating: 5

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