EquityPandit’s Outlook for ITC for week (July 13, 2015 – July 17, 2015):
ITC closed the week on negative note losing around 2%.
As we have suggested last week that the stock has formed a Shooting Star pattern on weekly charts in uptrend indicating the trend reversal and the stock has to close above the levels of 318 to negate this pattern. This week the stock was not able to sustain over the levels of 318 and the stock sold off to the levels of 306.
As seen from the chart the stock is trading around the strong resistance zone of 312 to 315 where downward sloping channel and trend-line are positioned.
If the stock moves above the levels of 320 we may see stock moving towards the zone of 330 where 100 Daily SMA is positioned.
Support for the stock lies in the range of 300 to 305 where 1000 Daily SMA is lying.
Broad range for the stock in coming week is seen between 290 to 300 on downside and 320 to 330 on upside.