Sell PSU Banks

Most of the PSU Banks including the PSU Bank indics in Nation Stock Exchange is showing weakness in the weekly candlestick chart. In the last two weeks the PSU Ban indics itself lost 184 points or 7.18%. During the same period Bank Nifty went down by 5.70%.

Stocks like IDBI, Syndicate Bank and UCO Bank have formed Evening Doji Star pattern in the weekly chart. Bank of India has formed Evening Star pattern in the weekly chart.  One can go and short these banks by keeping previous week’s high as stop loss.

On the other had Bank of India has formed Bearish Engulfing. Other stocks like State Bank of IndiaCanara Bank, Indian Overseas Bank, Punjab National Bank are closed down for two consecutive weeks.

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