EquityPandit’s Outlook for Nifty for week (May 16, 2016 – May 20, 2016):

NIFTY:

Nifty ended the week on positive note gaining around 1.00%.

As we have mentioned last week that resistance for the index lies in the zone of 7800 where 200 Daily SMA is lying. If the index manages to close above these levels then the index can move to the levels of 7950 to 8000 where 500 Daily SMA is lying. During the week the index manages to hit a high of 7916 and close the week around the levels of 7814.

Minor support for the index lies in the zone of 7700 to 7750. 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 7250 to 7300 where the index has opened gap up on 02/03/2016.

The index has closed around the resistance zone of 7820 where 200 Daily SMA is lying. Resistance for the index lies in the zone of 7950 to 8000 where 500 Daily SMA is lying. If the index manages to close above these levels then the index can move to the levels of 8200.

Broad range for the week is seen from 7500 on downside to 8000 on upside.