If there is any type of pressure, which the markets will probably signal, one has to simply watch out for some names because they may probably signal some other round of the cool off into the Bank Nifty already says the independent market expert.
Yes, the last few days were a very bit more choppy, mostly on Friday where the indices were also a bit volatile. However, the way the whole markets have rallied in February starting from Budget day itself has been spectacular. Whenever you see some of the point rallies on the Bank Nifty, a 1,700 to 1,800-point jump on the Nifty is just a matter of 2 or 3 weeks, there are also bound to be some bit of corrections as well as aberrations.
After some previous weeks’ price correction, the Nifty, as well as Bank Nifty both, have formed some of the bearish candlestick patterns. Typically, whenever we see those types of bearish patterns, this has a follow-through and a spillover. In that aspect, this is also possible that the action on the indices could remain a little bit muted.
We always managed to break below that last Friday and just about have a touch and how to go closing towards the mark. The next week, this level may be the most important. If we break as well as sustain below the 15,000 level, then a follow-through downside of some of the points on the Nifty could be a little bit high probability.
Whether this is the PSU banking pack or there are very specific insurance stocks like GIC Housing, etc, or this gas distribution names; if you always look at it, there is also very specific news flow as well as a very certain theme which has been attached towards the whole stocks. We have already seen that the markets were in the risk-on mode and whenever the news flow comes out to be positive for a very certain set of whole stocks or in particular sectors.