EquityPandit’s Outlook for Axis Bank for the week (January 25, 2016 – January 29, 2016):

AXIS BANK:

Axis Bank closed the week on positive note gaining around 13.30%.

As we have mentioned last week that resistance for the stock lies in the zone of 400 to 405 from where the stock has broken down from the consolidation range. If the stock closes above this levels then the stock can move to the levels of 430 to 435 where the gap has been created by the stock on 07/01/2016. During the week the stock manages to bounce from the levels of 366 and close around the resistance zone of 430.

Support for the stock lies in the zone of 400 to 410 where the stock has opened gap up on back of strong quarterly results. If the stock closes below this levels then the stock can drift to the levels of 340 to 350 where 1000 Daily SMA and 200 Weekly SMA are lying.

Resistance for the stock lies in the zone of 430 to 435 where the gap has been created by the stock on 07/01/2016. If the stock manages to close above this levels then the stock can move to the levels of 450 to 460 from where the stock has broken after forming the double bottom.

The stock has formed a Bullish Engulfing pattern on weekly charts in a downtrend indicating the strong trend reversal.

Broad range for the stock in the coming week can be 395 – 400 on lower side to 450 – 455 on upper side.