Axis Bank, HDFC Bank, other bank stocks fall up to 2%, Nifty Bank falls 440 points. What’s next?

The Nifty Bank index lost nearly 440 points on Friday morning as shares of heavyweights Axis Bank, HDFC Bank and others declined, which also dragged down the Nifty Private Bank and Nifty PSU Bank indices.

The Nifty Bank index was down about 0.8% at 55,611 by 10.45 am. The Nifty 50 index fell 0.4% to 24,236 as the conflict-ridden political situation in West Asia kept oil prices above $100 and continued FII selling pushed the rupee lower.

Shares of HDFC Bank fell nearly 2% to Rs. was traded at 783.25. Shares of India’s largest private bank have fallen more than 4% in a month and more than 21% so far in 2026 after Chairman Atanu Chakraborty spooked investors, citing an “incompatibility” between his personal values ​​and the bank’s practices.

Shares of Axis Bank followed by falling over 1.5% in the morning. Notably, India’s third-largest private lender has signed a $500 million offshore loan with Mitsubishi UFJ Financial Group, people familiar with the matter told The Economic Times.

Shares of Federal Bank and Union Bank of India also fell by more than 1%. Shares of ICICI Bank, Kotak Mahindra Bank and Punjab National Bank were down around 1%, while shares of Canara Bank, Bank of Baroda, State Bank of India (SBI), IDFC First Bank and IndusInd Bank were trading with marginal losses. Bucking the trend, shares of Yes Bank and AU Small Finance Bank rose up to 1%.

Notably, SBI and Bank of Baroda will announce their respective results for the January-March quarter of FY26 later today. Further, SBI yesterday announced that its board will consider a long-term fund raising plan of up to $2 billion during its next meeting on May 12.

Looking at technical levels for Nifty Bank

Bajaj Broking said that in the previous session Nifty Bank had formed a high wave candle with shadows in both directions, indicating consolidation among stock-specific actions. “During the current week it has generated a breakout above the upper band of the descending channel containing the corrective declines of the last nine sessions, highlighting a positive bias while holding above the breakout area of ​​55,000,” it added.

According to local brokerages, the Nifty Bank index is currently hovering around last week’s high of 56,475. A failure to move above 56,475 would signal an extension of the recent consolidation in the 55,000 to 56,475 range. On the downside, the brokerage said the index is likely to find support first at 55,720 and then at 55,400. On the upside, it will find resistance at 56,280 and then at 56,550.

Rajesh Bhosale, technical analyst at Angel One sees support at 55,800 to 55,500 and resistance at 56,800 to 57,000 for the banking index.

At the current level of 55,611, Nifty Bank has already breached the first support level range suggested by analysts. The next support level is 55,500 to 55,400 as suggested by the analysts.

(disclaimer: Recommendations, suggestions, opinions and views given by experts are their own. (These do not represent the views of The Economic Times)