Bank Stocks Outlook for the week – 20 to 22.10.2014
( www.rupeedesk.in )
Bank
stocks are expected to trade with a positive bias in a truncated Diwali week,
mainly
taking cues from quarterly bank earnings. HDCF Bank and Kotak Mahindra
Bank
will detail their Jul-Sep earnings results on Tuesday and Wednesday,
respectively.
Both HDFC Bank and Kotak Mahindra Bank are expected to post a
yearly
net profit growth of 22% and 17% in Jul-Sep, respectively.
Markets
will be shut on Thursday and Friday for Diwali. We believe long positions
have
been formed in the Bank Nifty, which may lead to upsides till 16500. Major
support
for the banking index is at 15500. The Bank Nifty ended at 15929.80
yesterday,
up over 3% from the previous week, even as the Nifty declined 1% in
the same period.