Expect CNX IT to cross levels of 9,900-10,000 next week: Mitesh Thacker

In a chat with ET Now, Mitesh Thacker of miteshthacker.com, shares his views on CNX IT. Excerpt:

ET Now: You have been bullish on CNX IT. What does one do with the CNX IT and the Bank Nifty in the next week?

Mitesh Thacker: The answer to CNX IT is simple: it is showing strength. It is making new highs and all-time highs. There is no historical supply point; hence, as long as there is no signal of trend reversal or consolidation, the targets of around 9500-levels is what I was looking for.

However, at newer highs, we have seen that the targets get exceeded. I will not be surprised to see CNX IT go towards levels of 9,900 or above 10,000 in the coming few weeks. I would suggest holding on with a stop below 9,250 and then ride the rally until we get some kind of trend reversal signal.

The Bank Nifty is one area which is worrying; without the Bank Nifty, the breakout might not happen. That is why I am pecking my targets around levels of 6,350-6,370 as the Bank Nifty has not confirmed any kind of strong upmove. However, if it manages to get pass 11,400 to about 11,450, we might see a mild trading into the Bank Nifty, which might push the Nifty itself a bit higher. This is more of a stock specific market to be precise.