Canara Bank Share Price: Stock market experts give these three reasons to buy this share

Canara Bank Share Price: The PSU bank's share price has skyrocketed to the tune of 2.5 per cent after the opening bell today. According to the stock market experts, there are three major reasons due to which the Canara Bank shares are rising northward. Those three reasons are — possible package announcement by the Modi government for the Indiana banking industry, Supreme Court hearing on loan EMI moratorium on Monday and the Board of Directors of the Canara Bank will meet today to consider and approve the capital raising plan through Qualified Institutional Placement (QIP).

Speaking on the triggers that is leading to rise in Canara Bank share price Sumeet Bagadia, Executive Director at Choice Broking said, "As far as the Canara Bank share price rise in concerned, the major reason for this stocks' surge is itts board meeting taking place today to approve the capital raising plan through Qualified Institutional Placement (QIP). Apart from this, there are two more reasons that are related to the entire banking sector — first the Supreme Court hearing taking place on Monday to decide upon the EMI moratorium and second one is the possible special package announcement coming in from the Modi government for the Indian banking sector."

See Zee Business Live TV streaming below:

Bagadia said that Canara Bank can be bought at current levels for immediate short-term rise of 10 per cent and for next 10 per cent in next one to two weeks."

Highlighting technical chart features of the Canara Bank shares Rohit Singre, Senior Technical Analyst at LKP securities said, "Canara Bank has strong support at Rs 76 per stock levels. One can buy this stock at current Rs 85 per shares mark for the immediate target of Rs 100 maintaining the stop loss at Rs 75 mark."