EquityPandit’s Outlook for NIFTY IT for the week (July 18, 2016 – July 22, 2016):

NIFTY IT:

Nifty IT index ended the week on negative note losing around 2.10%.

As we have mentioned last week that support for the index lies in the zone of 10700 to 10800 from where the index has bounced in the month of March – 2016. If the index manages to close below these levels then the index can drift to the levels of 10300 to 10500 where the index has made a medium term bottom in the month of Feb – 2016. During the week the index manages to hit a low of 10691 and close the week around the levels of 10716.

Support for the index lies in the zone of 10650 to 10700 from where the index has bounced in the month of March – 2016. If the index manages to close below these levels then the index can drift to the levels of 10300 to 10500 where the index has made a medium term bottom in the month of Feb – 2016.

Minor resistance for the index lies in the zone of 10900 to 11000. Resistance for the index lies in the zone of 11200 to 11300 where short term moving averages and 200 Daily SMA is lying. If the index manages to close above these levels then the index can move to the levels of 11400 to 11500 where the index has created a gap on gap down opening on 24/06/2016.

Broad range for the index in the coming week is seen from 10500 on downside to 11000 on upside.