EquityPandit’s Outlook for CNX IT for the week (September 14, 2015 – September 18, 2015):
CNX IT index closed the week on absolutely flat note.
As we have mentioned last week that if the index manages to close above the resistance zone of 11650 where 200 Daily SMA is positioned the index can move to the levels of 11900 where channel resistance for the index is lying and the index manages to hit a high of 11604 during the week and retraced back to the levels of 11400.
The index is trading around the support zone of 11400 where 100 Daily SMA is positioned. If the index breaks below the levels of 11400 on closing basis, the index can drift to the levels of 11000 where trend-line support for the index is lying.
The index has formed a Doji pattern on weekly charts in downtrend. During the week the index traded in the tight range of 11200 on downside to 11600 on upside. A breakout on either side will move the index further 4% to 5% in that direction.
Broad range for the index in the coming week is seen from 11000 on downside to 12000 on upside.