SBI: Ahead Of Result---145-135 Zone Will Be Vital In The Nr. Term

For any strength, SBI need to stay above 168-178;

Otherwise it may fall towards 145-135 zone;

And consecutive closing below 145-135 area, can crash towards 100 zone

 

CMP: 159

Either sell below 162-158 or on rise around 168-178;

TGT1: 145-135* (1-30 days)

TGT2: 120-100*-85-79 (12-24M)

TSL> 181/190

Note: Consecutive three days closing above 181-190 zone for any reason, SBI may further rally towards 210-220*-245 zone (alternative bullish case scenario).

All eyes will be on the Q3FY16 result of SBI today amid capitulation of  PSBS for RBI's AQR stance. RBI may change its stance in the forthcoming policy review after Q4FY16 balance sheet clean up of the Indian banking system.

Street is estimating Q3FY16 PAT for SBI at around Rs.3250 cr against Rs.2910 cr (YOY) and Rs.3879 cr (QOQ).

Analysts are estimating that net NPA may fall by 0.3% to around Rs.28592 cr (QOQ).

Most importantly, fresh slippages may be higher due to ongoing RBI's AQR and consensus figure is around Rs.5750 cr against Rs.5875 cr (QOQ).

But there is some market talk that SBI may report an astounding figure of around Rs.25000 cr for fresh slippages as par the present RBI AQR in Q3 & Q4FY16.

Interestingly, for the last two day, SBI's CD swap jumped by nearly 0.2%  and reached highest level since Aug'2014.

Technically, for SBI, 145-135 zone is a strong support zone for any rebound and consecutive closing below this zone for any reason, it may fall towards 100 area in the mid to long term.

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