EquityPandit’s Outlook for Cipla for the week (December 19, 2016 – December 23, 2016) :

CIPLA:

CIPLA closed the week on negative note losing around 2.20%.

As we have mentioned last week that resistance for the stock lies in the zone of 575 to 580 from where the stock has broken down. If the stock manages to close above these levels then the stock can move to the levels of 600 to 610 where the highs of October-2016 and September-2016 is lying. During the week the stock manages to hit a high of 582 and close the week around the levels of 564.

Support for the stock lies in the zone of 560 to 565 from where the stock has broken out on the intra-day basis. Support for the stock lies in the zone of 530 to 540 where 200 Daily SMA is lying. If the stock manages to close below these levels then the stock can drift to the levels of 500 to 510 where the stock has formed a bottom in the month of July – 2016 and August – 2016.

Resistance for the stock lies in the zone of 575 to 580 from where the stock has broken down. If the stock manages to close above these levels then the stock can move to the levels of 600 to 610 where the highs of October-2016 and September-2016 is lying.

Broad range for the stock is seen in the range of 545 – 550 on downside to 575 – 580 on upside.