Yes Bank has always been an interesting stock for those investing in the stock market. The day of 17th June brought great relief to the faces of the investors of this bank. On the basis of strong buying, Yes Bank shares made a huge jump and made a new 52-week record high. In the day’s trading, this share reached the level of Rs 25.45 with a rise of about seven percent. However, by the time the market closed, it settled at Rs 25.14 with a gain of 5.23 percent. Even today, Thursday, the stock has gained 1.23%. As of 2:52 pm the share is trading at Rs 25.42. For those investors who were disappointed about this stock at lower levels, this rise is no less than a lifesaver, because this stock has recovered more than 48 percent from its 52-week low. If we talk about just the last one month, investors’ capital has increased by more than 15 percent.
Strong breakout seen on the chart
According to technical experts of the market, Yes Bank has now taken a new direction. Analysts of Canara Bank Securities clearly say that this stock has made its way out by breaking the long-running downward channel. In technical language it is called ‘bullish breakout’. At present it is trading above all the important moving averages of the stock market. If understood from the perspective of a common investor, it simply means that a new life has come into the stock. This strong trend of the market is a clear indication that the confidence of big investors is once again returning to this banking stock.
The market’s eyes are fixed on these special levels
Now the question arises that how will the stock move from here. Jigar S., Senior Technical Research Analyst, Anand Rathi Share & Stock Brokers. Patel considers this surge very important. According to his analysis, the level of Rs 24.25 was a major resistance, which the stock has crossed with great strength. This breakout reflects the increasing buying appetite in the market. At the same time, brokerage firms believe that now the next big stop for the stock is the level of Rs 25.52. This level is not just a technical figure, but also a major psychological level, which matches the previous swing high. If the stock successfully overcomes this hurdle, then an even bigger rise may be seen in the coming trading sessions.
Experts gave a target of ₹32
Market experts also seem quite positive about future goals. The strong results of the fourth quarter which have instilled confidence in the bank’s balance sheet, are now reflecting in the share price as well. According to Muthuselvaraj M., Technical Research Analyst, Mere Asset Sharekhan, the stock is continuously forming a strong pattern on the weekly chart. In the near future this share can touch the figure of Rs 26. However, considering the volatility of the market, investors will also have to keep in mind the important support level of Rs 20, which will act as a strong shield in case of a decline. Muthuselvaraj estimates that if Yes Bank is successful in overcoming its current major resistance, the stock may fly to Rs 32 or even higher levels in the medium term.
Disclaimer: This article is for information only and should not be considered as investment advice in any way. TV9 Bharatvarsha advises its readers and viewers to consult their financial advisors before taking any money-related decisions.
