Stock picks of the day: Nifty hits fresh August lows; avoid bottom fishing at current level
Episode 1598, Aug 23, 2019, 02:00 AM
Nifty50 has broken below August lows of 10,780 which could further lead to fresh selling pressure. Post which we expect the Nifty to head lower towards 10,550 zone.
We are seeing a resumption of the downtrend in various sectors. The realty index, PSU Bank, Private bank and FMCG index have broken down indicating weakness.
Bank Nifty too has broken below its August lows which indicates the index has the potential to move lower towards 26,500 levels which is the March 2019 lows. It would be advisable to avoid bottom fishing at the current juncture.
The Nifty Bank closed 2.4 percent lower at 27,034 on Thursday weighed down by losses in YES Bank, RBL Bank, Bank of Baroda, PNB, and State Bank of India.