Bank Nifty rose over 1% on October 9 with Kotak Mahindra Bank, HDFC Bank, Federal Bank leading gains.
At 1:30 pm on October 9, the sectoral index was trading 1.3% higher at 55,225.45 with Federal Bank, Kotak Mahindra Bank being among top gainers by rising 2.5% and 2%, respectively.
The Nifty Private Bank index was trading 1.4% higher while the Nifty PSU Bank index was trading 1.1% higher in the afternoon trade.
"Traders should adopt a sell-on-rise strategy, with resistance at 55,000. A decisive break below 54,000 could intensify selling pressure toward 53,700," said Vatsal Bhuva, Technical Analyst at LKP Securities.
"Only a move above Wednesday’s high of 55,340 will signal pullback towards 55,700 and 56,200 levels in the coming sessions being the recent breakdown area. Index has key short-term support at 53,500-54,000 being the confluence of the last week low and the key retracement of the previous up move," said Pabitro Mukherjee, Deputy Vice President-Research, Bajaj Broking.