EquityPandit’s Outlook for Cipla for the week (October 12, 2015 – October 16, 2015):
CIPLA closed the week on positive note gaining around 9%.
As we have mentioned last week that resistance for the stock lies in the zone of 650 to 660 where 100 and 200 Daily SMA are positioned above which the stock can move to the levels of 680 to 700. During the week the stock manages to hit a high of 692 and virtually close at the high point around the levels of 689.
Support for the stock lies in the range of 650 to 660 where 100 & 200 Daily SMA are positioned. If the stock closes below the levels of 650 then the stock can drift to the levels of 620 where trend-line support for the stock is lying.
The stock has broken out of the triangle pattern. Targets for the same can be in the range of 720 to 740.
Stock can face minor resistance around the zone of 700 where trend-line resistance for the stock is lying. If the stock manages to close above the levels of 710 then the stock can move to the levels of 740 where trend-line joining earlier highs is positioned.
Broad range for the stock is seen in the range of 650 – 660 on downside to 700 – 710 on upside.