- Summary:
- Yes Bank share price has recovered more than 2.8 percent of the losses incurred in May, but still has about 10 percent to recoup.
Yes Bank share price held on to its gains on Monday, maintaining its recovery mode towards erasing the steep losses incurred in the first half of May. The share price stood at RS 23.35 at the time of writing, having gained 1.52 percent in the intraday session. It has gained 2.87 percent in the last seven days, but is still 10.7 percent in loss since the month began.
The latest rise comes on the back of news that the bank has established a product targeting its wealthy clients. Yes Bank announced the launch of Yes Grandeur last week that the product will offer benefits like discounts on locker facilities, dedicated relationship managers, exemption on charges among others. India’s strong economy is expected to churn out a rising number of ultra-wealthy individuals, making such products profitable. In order to be eligible for Yes Grandeur, one needs either a Net Relationship Value (NRV) of ₹20 lakh or an average monthly balance of ₹5 lakh. Loan relationships will also receive be taken into consideration.
Also, CEO Piyush Shukla revealed that the bank will spend Rs 1,000 crore in expanding its digital platform, which is expected to expand its reach. Meanwhile, Yes Bank’s Paytm venture is already proving profitable. The bank has reported a rise of 1.2 billion incremental payment transactions every month since it became Paytm’s exclusive merchant acquiring partner and a payment service provider.
Technical analysis
Yes Bank share price is currently favoured to continue the upside, as signaled by the RSI indicator. The pivot is at 23.20, and the upward action will likely meet the first resistance at 23.50. A break above that point will strengthen the upside momentum further, and could help build further gains to test 23.70 in extension. On the other hand, a move below 23.20 will likely favour the sellers to take control. Furthermore, a continuation of that control could break the support at 23.05, which would invalidate the upside narrative. Also, the resulting momentum could result in the extension of the downward movement to test 22.75.
