EquityPandit’s Outlook for Nifty and Major indices for week (July 06, 2015 – July 10, 2015):

NIFTY

Nifty ended the week with the gain of around 1.2%.

After the gap-down opening on 29/06/2015 due to Greek Drama the index recovered smartly from the levels of sub 8200 and close the week on high around the resistance zone of 8500.

The index closed above the levels of 8450 where 100 Daily SMA was positioned.

On 05/07/2015 Greece is going for the referendum and the outcome will decide further direction of the markets.

From the chart it is seen that the index has the minor trend-line resistance around the levels of 8550. If index manages to move above the levels of 8550 to 8600 we can see index moving towards the levels of 8800.

Support for the index lies in the zone of 8200 to 8300 where short term moving averages, 200 Daily SMA, 50 Daily EMA and trend-lines are positioned.

Range for the week is seen from 8200 to 8300 on downside to 8600 to 8700 on upside.

BANKNIFTY

Bank Nifty ended the week with the gain of around 2%.

The index recovered smartly from the lows of the week and ended the week on high around the levels of 18750 near to the resistance zone of 18800 levels.

As seen from the chart the index is approaching towards the resistance zone of 18900 to 19100 where trend-line and upward moving channel are positioned.

Above the resistance zone of 19000 the index can move to the levels of 19400 where downward sloping channel is positioned.

Support for the index lies in the zone of 18200 to 18400 where short term moving averages, long term moving averages and trend-line are positioned.

Range for the week is seen from 18200 to 18400 on downside to 18900 to 19250 on upside.

CNX IT

CNX IT index closed the week on negative note losing around 1.5%.

As we have been informing that the index is constantly facing resistance around the downward sloping trend-line positioned around the levels of 11400 and this week also the index made the high around the levels of 11300 and retraced back.

There has been continuous news flow from the IT giants from around the globe about the earnings slowdown which is also affecting the IT index in India and the index is seen underperforming compared to the other indices.

On 09/07/2015, the IT giant TCS will come out with quarterly results. We think the results will be make or break for the index.

If the company comes out with good results we may see the index breaking out of the resistance zone of downward sloping trend-line positioned around the levels of 11300.

If the company disappoints on the result front we may see index breaking down from the levels of 10900 to 11000 which is acting as strong support for the index in any correction.

Broad range for the index in the coming week is seen from 10800 on downside to 11500 on upside.

CNX FMCG

CNX FMCG index closed the week on positive note gaining around 4%.

The index outperformed all the indices this week and gained around 4%.

The index is approaching towards the strong resistance zone of 20300 to 20500 where 100 Daily SMA and downward sloping trend-line are positioned.

Above the levels of 20500 the index can move towards the levels of 21000.

Support for the index lies in the zone of 19600 to 19800 where short term moving averages and trend-line are positioned.

Broad range for the index in the coming week is seen from 19500 on downside to 20500 on upside.

CNX PHARMA

CNX PHARMA index closed the week on positive note gaining more than 3.0%.

The index has closed around the strong resistance zone of 12250 where 100 Daily SMA is lying. Also the index has filled the gap which was created on 01/06/2015 on gap down opening.

The index has been forming the Shooting Star pattern on Daily chart in an uptrend. Generally this pattern indicates the trend reversal. The index has to slow above the levels of 12300 to negate this pattern.

If index manages to close above the levels of 12300 we may see index moving towards the levels of 12750 where trend-line resistance are positioned.

Support for the index lies in the zone of 11800 to 12000 where short term moving averages are positioned.

Broad range for the index is seen from 11800 on downside to 12500 on upside.

CNX AUTO

CNX AUTO index closed the week on positive note gaining around 2.5%.

The index has closed around the strong resistance zone of 8500 where 100 Daily SMA is lying. The index is also approaching towards the channel resistance which is positioned around the levels of 8650.

The index has formed a Bearish engulfing pattern on daily chart. So starting next week we may see some weakness in the index. The index has to close above the levels of 8600 to negate this pattern.

Support for the index is lying in the zone of 8300 to 8350 where 200 Daily moving average and trend-line are positioned.

Broad range for the index is seen from 8200 to 8300 on downside to 8500 to 8600 on upside.

CNX ENERGY

CNX ENERGY index closed the week on positive note gaining around 2%.

The index is facing strong resistance around the zone of 9000 and the index is struggling to close above 9000 levels.

The index is forming the Shooting Star pattern on Daily charts in an uptrend suggesting the trend reversal.

The index has to close above the levels of 9050 to negate this pattern. Above the levels of 9050, the index could move towards the levels of 9200.

Support for the index is seen in the zone of 8800 where short term, 200 Daily SMA and trend-line are positioned.

Broad range for the index is seen between 8700 on downside to 9200 on upside.