EquityPandit’s Outlook for Lupin for the week (August 17, 2015 – August 21, 2015):
Lupin closed the week on positive note gaining around 6%.
As we have mentioned last week that the stock has formed a Hanging Man Pattern on Weekly charts in uptrend indicating the trend reversal. The stock has to close above the levels of 1717 to negate this pattern and the stock manages to close the week strongly in bulls favor above the levels of 1717.
The stock is approaching towards the strong resistance zone of 1800 where 100 Daily SMA is positioned.
The stock has formed a Bearish engulfing pattern on monthly charts indicates that every bounce will be sold off.
Support for the stock lies in the zone of 1750 to 1770 where short term moving averages and 50 Daily EMA are positioned below which the stock can drift to the levels of 1710.
Resistance for the stock lies in the zone of 1800 to 1850 where 100 Daily SMA and upward moving trend-line are positioned.
Broad range for the stock is seen from 1700 – 1720 on downside to 1850 – 1870 on upside.