EquityPandit’s Outlook for NIFTY Auto for the week  (Dec 17, 2018 – Dec 21, 2018) :  

NIFTY AUTO:

Nifty AUTO index closed the week on positive note gaining around 4.50%.

As we have mentioned last week, that resistance for the index lies in the zone of 8900 to 9000 from where the index broke down after consolidation and short term moving averages are lying. If the index manages to close below these levels then the index can move to the levels of 9350 to 9450 where Fibonacci levels and high for the month of November-2018 are lying. During the week the index manages to hit a high of 9314 and close the week around the levels of 9271.

Minor support for the index lies in the zone of 8900 to 9000. Support for the index lies in the zone of 8500 to 8600 where low for the month of October-2018 is lying. If the index manages to close below these levels then the index can drift to the levels of 8100 to 8200 where long term Fibonacci levels are lying.

Resistance for the index lies in the zone of 9350 to 9450 where Fibonacci levels and high for the month of November-2018 are lying. If the index manages to close below these levels then the index can move to the levels of 9600 to 9700 where Fibonacci levels are lying.

Broad range for the index is seen from 8700 to 8800 on downside & 9500 to 9600 on upside.