EquityPandit’s Outlook for Hindustan Unilever for week (July 27, 2015 – July 31, 2015):

HINDUSTAN UNILEVER:

Hindustan Unilever (NSE: HINDUNILVR) closed the week on negative note losing around 2%.

As we have mentioned last week that the stock has been facing stiff resistance around the levels of 930 to 940 and the stock is selling off to the levels of sub 900. Also the stock has formed a Bearish engulfing pattern on daily charts. The stock has to close above the levels of 940 to negate this pattern. The stock sold off to the levels of 870 before recovering to the levels of 907 during the week.

Since last 1 month the stock has been moving in the range of 870 on downside to 940 on upside. It seems the stock is consolidating in the range before breaking out of the range. A break of the range on either side can take the stock further 4% – 5% in that direction.

Support for the stock lies in the range of 870 to 890 where 100 Daily SMA and trend-line support are positioned.

Resistance for the stock lies in the range of 930 to 940.

Broad range for the stock in coming week is seen between 860 to 880 on downside and 930 to 950 on upside.