Private sector lenders fell nearly 19 percent from its recent high of Rs 2,252, recorded on October 27, 2021. The stock seems to be supporting the 50-DMA at Rs 1,770 and the 20-DMA at Rs 1,782.
The stock, with a market capitalization of over Rs 3.6 lakh crore, has remained resilient amid market volatility. The stock has given a breakout above the falling trendline channel of around Rs 1,800.
Thus, any decline towards Rs 1,800 can be used to create a long position in the stock. Closing above Rs 1,870 would give further impetus to the stock which could move towards Rs 1,950-2,000 in the next two weeks, experts advise.
On the price front, the stock is trading above 5,10,20,50 and 100-DMA. It is still trading below the long-term moving average of the 200-DMA set in 1864, Trendline data shows.
The stock rose 2 percent to close at Rs 1,829 on Friday, May 20.
Stock Radar: Buy Kotak Mahindra Bank Target Rs 2,000, Sumit Bagadiya’s Recommendation
“Kotak Mahindra Bank has supported 50 and 20 simple moving averages The stock has given a breakout of the declining trend line to the 1800 level and is maintaining the mentioned levels. The 1950s and 2000s could start a long position at the current level for upward targets, “said Sumit Bagadia, executive director of Choice Broking.
Sumit Bagadia, executive director of Choice Broking, said:
“Kotak Mahindra Bank has supported 50 and 20 simple moving averages The stock has given a breakout of the falling trend line at Rs 1,800 and is maintaining the above mentioned levels, ”he added.
Positive crossovers on the MACD and RSI remain above the 55 level, confirming the bullish trend. RSI is 56.0, mid-range; Below 30, RSI is considered overbought and above 70 is considered overbought.
“A close and a stay above Rs 1,870 will take us to the Rs 1,950-2,000 level in the coming weeks. One can start a long position at the current level or at a price reduction. The Rs 1,800-1,810 levels should be used as an opportunity to buy for an upward target of Rs 1,950 and the Rs 2,000 levels should be kept close to the Rs 1,720 level with a stop loss, “Bagadiya recommends.
(Disclaimer: The recommendations, suggestions, opinions and opinions offered by the experts are their own. These do not represent the views of the Economic Times)