SBI share price: Decoded! Technical, fundamental share analysis for stock investors
Sumeet Bagadia, Executive Director, Research at Choice Broking recommends buying in SBI in cash at 402 with stop loss of Rs 385 with target of Rs 430. Technical analysis will help the traders and investors to understand the levels of the stock. Sumeet says SBI has been trading in a bullish trend for the past couple of weeks without enabling a selling pressure; the stock has given a Rising Trendline Breakout on a weekly chart which shows a bullish presence in the counter.
Sumeet Bagadia, Executive Director, Research at Choice Broking recommends buying in SBI in cash at 402 with stop loss of Rs 385 with target of Rs 430. Technical analysis will help the traders and investors to understand the levels of the stock. Sumeet says SBI has been trading in a bullish trend for the past couple of weeks without enabling a selling pressure; the stock has given a Rising Trendline Breakout on a weekly chart which shows a bullish presence in the counter. The stock has sustained above the Upper Bollinger Band and Ichimoku Cloud formation, which indicates positive strengths for the long term. SBI Share price today is Rs 403.5, up Rs 8 or 2%.
Moreover, the price of SBI has also moved above 21 days Simple Moving Averages, which suggest buying for the near term. On the daily timeframe, the stock has taken immediate support of prior swing lows and also formed the Bullish Harami Candlestick pattern, which is a sign of bullish reversal.
See Zee Business Live TV Streaming Below:
In addition, the daily price has also shown a positive crossover of 9*21 days Exponential Moving Averages and Parabolic Sar has supported the bullish rally. On a four hourly chart, SBI stock price has shifted above Middle Bollinger Band with higher volume activities, which point-out bullish participation in the counter.
A momentum indicator RSI & MACD showed a positive crossover which supports the prices to move in a positive direction. So based on the above technical structure, Sumeet is recommending a buy position in SBI for the target of 430.
Choice Broking says State Bank of India (SBI) reported a strong set of numbers for Q3FY21, above market estimates, with net profit at Rs 51.9 bn (13.6% QoQ) on the back of lower provisioning and strong operating performance. Along with strong business growth (credit at 7.6% YoY) and profitability, improvement in assets quality was significant. SBI reported proforma GNPA at 5.44% (down 44 bps QoQ) and NNPA at 1.81% (27 bps QoQ decline) which looks comforting considering the pandemic led turbulence to economy impacting industry performance. SBI received restructuring applications worth of Rs 181.3 bn out of which 65% are from corporate segment and 21% from the retail segment.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.