EquityPandit’s Outlook for CNX IT for the week (August 17, 2015 – August 21, 2015):
CNX IT index closed the week on positive note gaining around 4%.
As we have mentioned last week that if the index manages to close above the levels of 11800 the index can move to the levels of 12800 to 13000 in 1 to 2 months time frame and the index has hit a high of 12129 during the week.
As we have mentioned last week that the index has formed a Bullish engulfing pattern on monthly charts. If the index manages to close above the levels of 11800 the index will break-out of the 3 months consolidation, and the index can move to the levels of 12800 within 1 to 2 months time frame.
Support for the index lies around the zone of 11600 to 11800 from where the index has broken out and also the long term moving averages are positioned.
Resistance for the index lies in the zone of 12400 to 12500.
Broad range for the index in the coming week is seen from 11600 on downside to 12400 on upside.