EquityPandit’s Outlook for NIFTY IT for the week (February 22, 2016 – February 26, 2016):

NIFTY IT:

Nifty IT index ended the week on positive note gaining around 4.00%.

As we have mentioned last week that resistance for the index lies in the zone of 10600 to 10700 from where the index has broken down from the lows of Jan – 2016. If the index manages to close above this levels then the index can move to the levels of 10900 to 11000 where 500 Daily SMA and channel resistance for the index is lying. During the week the index manages to hit a high of 10791 and close the week around the levels of 10732.

Support for the index lies in the zone of 10400 from where the index has broken out in the month of August – 2014. If the index closes below this levels for couple of days then the index will be in a freefall and next support for the index lies in the zone of 9500.

The index has closed around the strong resistance zone of 10600 to 10700 from where the index has broken down from the lows of Jan – 2016. If the index manages to close above this levels then the index can move to the levels of 10900 to 11000 where 500 Daily SMA and channel resistance for the index is lying.

Broad range for the index in the coming week is seen from 10400 on downside to 10900 on upside.