Canara Bank (NSE: CANBK) chart step by step — covering technical, support/resistance, RSI, pivot levels, targets, stop loss, and fundamental + time-frame view.
📊 Technical Chart Analysis
Time Frame: Daily (1D)
Current Price: ₹126.87
SMA (21): ₹116.95
Fibonacci Levels (approx):
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0% (Bottom): ₹104.21
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0.5 (Mid): ₹116.23
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0.618: ₹119.07
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1 (Top): ₹128.26
🧠Support & Resistance Levels
| Level Type | Price (₹) | Observation |
|---|---|---|
| Immediate Resistance | 128–129 | Fibonacci 1 level + recent swing high |
| Next Resistance | 134–136 | Psychological & historical level |
| Immediate Support | 119–120 | Fibonacci 0.618 + near 21 SMA |
| Next Support | 116 | Fibonacci 0.5 retracement |
| Major Support | 104–105 | Base of pattern / previous low |
📈 RSI (Relative Strength Index)
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Current RSI: ~72.7 → Overbought Zone
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RSI Signal: Some profit booking possible; momentum is strong but may consolidate soon.
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Short-term risk: Pullback toward 119–120 likely if RSI cools below 70.
💹 Pattern Observations
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The price is approaching resistance near ₹128, where a small correction or consolidation is likely.
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Cup & handle or double-bottom type formation seen in August–September, breakout confirmed above ₹120.
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The uptrend remains intact as long as price stays above ₹116 (21 SMA support).
🎯 Trading Plan
| Type | Target | Stop Loss | Rationale |
|---|---|---|---|
| Short-term (1–2 weeks) | ₹128–130 | ₹119 | RSI high, near resistance; possible small upside left |
| Medium-term (1–3 months) | ₹135–138 | ₹116 | If sustains above 120, breakout confirmation |
| Long-term (6+ months) | ₹150–160 | ₹110 | Banking sector tailwinds, improving fundamentals |
📊 Pivot Levels (Approx.)
| Pivot Type | Level (₹) |
|---|---|
| Pivot Point (P) | 124.8 |
| R1 | 128.2 |
| R2 | 132.4 |
| S1 | 119.0 |
| S2 | 116.0 |
👉 Price currently above Pivot and near R1, indicating bullish momentum, but overbought condition (RSI > 70) signals limited near-term upside.
🧠Fundamental View
| Factor | Status | Remarks |
|---|---|---|
| Earnings Growth | ✅ Positive | Canara Bank reported strong YoY profit growth due to lower NPAs and healthy loan book. |
| Asset Quality | ✅ Improving | GNPA < 5%, NNPA < 1.5%, stable provisioning. |
| Valuation | ⚖️ Reasonable | P/B around 1x – fairly valued vs peers. |
| Dividend Yield | ✅ Attractive | ~3–4% annual yield. |
| Sector Outlook | ✅ Bullish | PSU banks benefiting from credit growth & rate stability. |
📅 Time-Frame View Summary
| Time Frame | Outlook | Comment |
|---|---|---|
| Short-term (1–2 weeks) | ⚠️ Cautious Bullish | RSI high; minor pullback possible before next leg up. |
| Medium-term (1–3 months) | ✅ Bullish | Above ₹120 = continuation of uptrend. Target ₹135–138. |
| Long-term (6–12 months) | 🚀 Strong Bullish | Potential to test ₹150–160 if fundamentals hold. |
🧩 Conclusion
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Current Trend: Bullish but near resistance (₹128).
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Short-term traders: Book partial profits near ₹128–130, re-enter near ₹119–120 support.
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Medium/long-term investors: Hold/add on dips to ₹116–120 zone.
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Stop Loss: ₹116 for swing positions, ₹110 for long-term.
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