Sensex can scale higher if it breaches 40,800; bank stocks likely to shine

The daily chart shows buying around 40,200. If this level holds, then a further upside looks certain. Although, MACD trades with a negative crossover, the charts do not indicate any major weakness

NIFTY 50: The index has formed 'Golden Cross' pattern on the technical charts and is set to rise towards lifetime high. That said, conquering the 12,000 mark on closing basis seems a difficult task as things stand. This level has become a stiff hurdle from the past 12 sessions. Indeed, the overall trend looks optimistic above 11,800, which is the immediate support. Only a sharp close below this level may trigger more correction. Although, Relative Strength Index (RSI) has fallen below oversold condition, it still trades with a negative crossover along with Moving Average Convergence Divergence (MACD).