SBI - tough resistance !

The Nifty opened lower and later during the end of the day, broke the crucial weekly support of 5250... But I am sure my INTRADAY Participants would have earned nicely today !! It seems every day is a new day and we must approach the markets as such!

SBI has fixed the base rate (lending rate) at 7.5% (from July 1) and henceforth the borrowers will be able to avail loans on rates linked to this base rate... This should have the effect of higher interest rate cost to corporate India.

SBI the scrip is currently facing resistance at Rs 2390+ levels for the past few weeks and crossing that level is getting tough. After the base rate announcement, the scrip saw some selling pressure / profit booking and it has closed lower at 2290/-.



Consider support as crucial at 2265 and a close below this level can take the scrip towards 2100 or lower levels in coming days.

Investors holding the stock may want to book profits and exit for the time being. . .

Happy Trading !
CA Rajiv D Khatlawala
www.investogyan.com
Creating Educated Investors