EquityPandit’s Outlook for Nifty for week (February 29, 2016 – March 04, 2016):

NIFTY:

Nifty ended the week on negative note losing around 2.40%.

As we have mentioned last week that resistance for the index lies in the zone of 7240 where the index has formed a previous bottom. If the index manages to close above this levels then the index can move to the levels of 7500 from where the index has broken down after making the double bottom. During the week the index manages to hit a high of 7252 and sold off to close the week around the levels of 7036.

Support for the index lies in the zone of 6950 to 7000 where the index has formed a short term bottom. If the index manages to close below this levels then the index can drift to the levels of 6700 where 1000 Daily SMA and 200 Weekly SMA are positioned.

Resistance for the index lies in the zone of 7240 where the index has formed a previous bottom. If the index manages to close above this levels then the index can move to the levels of 7500 from where the index has broken down after making the double bottom.

The index is positioned around the trend-line support which is holding the index in every correction since February – 2015. If the index can hold this levels and if the global turmoil settles then the index can witness a significant bounce which can take the index to the levels of 8000.

Broad range for the week is seen from 7000 on downside to 7300 on upside.