EquityPandit’s Outlook for NIFTY Auto for the week (July 18, 2016 – July 22, 2016):
Nifty AUTO index closed the week on positive note gaining around 3.80%.
As we have mentioned last week that Index has closed around the resistance zone of 8830 to 8880 from where the index has retraced in the month of April – 2015 and August – 2015. If the index manages to close above these levels then the index can move to the levels of 9100 where life time highs for the index is lying. During the week the index manages to hit a high of 9254 and close the week around the levels of 9204.
Minor support for the index lies in the zone 9100. Support for the index lies in the zone of 8880 to 8950 where the index has opened gap up on 11/07/2016. If the index manages to close below these levels then the index can drift to the levels of 8650 to 8700 where short term moving averages are lying.
The index has close at the life time highs. So virtually no resistance is visible. Resistance for the index lies in the zone of 9400 to 9450.
Broad range for the index is seen from 9000 to 9050 on downside to 9450 to 9500 on upside.