EquityPandit’s Outlook for NIFTY Pharma for the week (July 18, 2016 – July 22, 2016):

NIFTY PHARMA:

Nifty PHARMA index closed the week on positive note gaining around 0.30%.

As we have mentioned last week that minor support for the index lies in the zone of 11200 to 11300. Support for the index lies in the zone of 11000 where channel support for the index is lying. If the index manages to close below these levels then the index can drift to the levels of 10500 from where the index has formed a short term bottom in the month of June – 2016. During the week the index manages to hit a low of 11536 and close the week around the levels of 11608.

Support for the index lies in the zone of 11450 to 11500 where 200 Daily SMA is lying. If the index manages to close below these levels then the index can drift to the levels of 11100 to 11200 where medium term moving averages are lying. If the index manages to close below these levels then the index can drift to the levels of 10500 from where the index has formed a short term bottom in the month of June – 2016.

Minor resistance for the index lies in the zone of 11700 to 11750. If the index manages to close above these levels then the index can move to the levels of 12000 to 12100 from where the index has retraced in the month of Dec – 2015.

Broad range for the index is seen from 11200 to 11300 on downside to 11800 to 11900 on upside.