YES Bank shares up 18% in 8 sessions; can stock finally breach Rs 20 level?

YES Bank shares continued to tick higher for the eighth straight session in Thursday's trade. The stock rose 4.45 per cent to hit a day high of Rs 18.77 over its previous close of Rs 17.97. At today's high price of Rs 18.77, the scrip has gained 17.75 per cent in eight trading days. Despite the mentioned rise, the counter has declined around 15 per cent in 2023 so far.

On BSE, around 6.92 crore shares changed hands today at the time of writing this story. The figure was higher than the two-week average volume of 3.05 crore shares. Turnover on the counter came at Rs 127.08 crore, commanding a market capitalisation (m-cap) of Rs 53,145.86 crore. There were 1.65 crore sell orders today against buy orders of 39.82 lakh shares.

Technical analysts said the stock has stiff resistance around Rs 19-20 levels. A decisive breach above the said zone is required for a further upside in the near term.

Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One, said, "YES Bank has been hovering in the range of Rs 15.20-18.50 for quite some time and requires a decisive breakthrough to come out of the slumber phase. Technically, the stock is placed near the resistance zone and needs to have a cautious view in the coming period."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, "The stock has gained some quick momentum. As we advance, there will be massive resistance near Rs 19 and credible support is seen around Rs 16. On the flip side, if YES Bank share closes above Rs 19, then the doors will be open for Rs 21–22 levels in the coming few weeks."

AR Ramachandran from Tips2trades said, "YES Bank is bearish and also overbought on daily charts with next resistance at Rs 20. Investors should be booking profits at current levels as a daily close below support of Rs 17.95 could lead to a lower target of Rs 15.8 in the near term."

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Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher, said, "A decisive breach above 19 zone is necessary to sustain the positive trend and expect a further upward journey for next higher targets between Rs 22.50 and Rs 24.80 levels. With support maintained near Rs 16.70-17 zone, one can go long on the counter."

DRS Finvest founder Ravi Singh suggested an upside target of Rs 20 for YES Bank shares, keeping stop loss placed at Rs 17.

The counter was trading higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150- and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 72.53. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a price-to-equity (P/E) ratio of 62.89 against a price-to-book (P/B) value of 1.25.

The scrip has an analyst target price of Rs 15, Trendlyne data showed, suggesting a potential downside of 17 per cent in a year. It has a one-year beta of 1.12, indicating high volatility on the counter.

(Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.)

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