EquityPandit’s Outlook for NIFTY Pharma for the week (November 07, 2016 – November 11, 2016) :

NIFTY PHARMA:

Nifty PHARMA index closed the week on negative note losing around 8.90%.

As we have mentioned last week that resistance for the index lies in the zone of 11700 to 11800 where the index has formed a top in the month of October – 2016. If the index manages to close above these levels then the index can move to the levels of 11900 to 12000 where the index has formed a triple top pattern. During the week the index manages to hit a high of 11705 and close the week around the levels of 10606.

Support for the index lies in the zone of 10350 to 10500 from where the index has bounced in the month of March – 2016 and June – 2016. If the index breaks below these levels on closing basis then the index can witness a free fall as no supports are visible. If the index breaks below these levels then the index can drift to the levels of 10000.

Resistance for the index lies in the zone of 10900 to 11050 where the index has formed a gap on 04/11/2016 on gap down opening. If the index manages to close above these levels then the index can move to the levels of 11200 to 11300 from where the index has broken down from the double bottom pattern and 200 Daily SMA is lying.

Broad range for the index is seen from 10200 to 10300 on downside to 10900 to 11000 on upside.