EquityPandit’s Outlook for Nifty for week (April 18, 2016 – April 22, 2016):

NIFTY:

Nifty ended the week on positive note gaining around 3.90%.

As we have mentioned last week that support for the index lies in the zone of 7500 to 7550 from where the index has broken down after making the double bottom pattern and 100 Daily SMA is lying. If the index manages to close below these levels then the index can drift to the levels of 7400 where the index has opened with the gap up on 03/03/2016 and short term moving averages are lying. During the week the index manages to hit a low of 7517 and bounce to close the week around the levels of 7850.

Minor support for the index lies in the zone of 7700 to 7750 where the index has opened gap up on 13/04/2016. Support for the index lies in the zone of 7500 to 7550 from where the index has broken down after making the double bottom pattern and 100 Daily SMA is lying. If the index manages to close below these levels then the index can drift to the levels of 7400 where the index has opened with the gap up on 03/03/2016 and short term moving averages are lying.

The index has closed around the resistance zone of 7900 to 7950 where 200 & 500 Daily SMA is lying. If the index manages to close above these levels then the index can move to the levels of 8100 where trend-line joining earlier highs is lying.

Broad range for the week is seen from 7600 on downside to 8000 on upside.