Share price below Rs 20: This PSU Bank has given a price volume breakout on Thursday

The share price of UCO bank jumped higher by 10.55 per cent on Thursday. Although the stock closed below the opening price on Thursday the gap up opening in the counter with rising volumes indicates bullishness in the counter. 

After UCO Bank gave a written commitment to the RBI that it will comply with the minimum regulatory capital, net non-performing assets and leverage ratio on an ongoing basis, the RBI lifted the prompt corrective restrictions on the lender. 

UCO Bank was on the prompt corrective action list since May 2017. 

When any banks are forced into the prompt corrective action list, it is barred from increasing any risk-weighted assets. Usually, those banks with high non-performing assets and negative return on assets enter the list of prompt corrective action list. 

The shares of UCO Bank are up by ~7 per cent in one month, in line with the BSE Sensex performance while in 2021 UCO Bank is up by 7.20 per cent. 

UCO Bank has declared positive results in the latest quarter and has managed to close above the key short-term moving averages, indicating bullishness in the counter. 

Momentum traders can keep UCO Bank of their watchlist.