EquityPandit’s Outlook for NIFTY Auto for the week (February 20, 2017 – February 24, 2017) :

NIFTY AUTO:

Nifty AUTO index closed the week on negative note losing around 3.00%.

As we have mentioned last week that resistance for the index lies in the zone of 10000 to 10100 from where the index sold off in the month of November-2016. If the index manages to close above these levels then the index can move to the levels of 10250 to 10350 where trend-line joining highs of September-2016 and October-2016 is lying. If the index manages to close above these levels then the index can move to the levels of 10450 to 10500 where the index was top out in the month of September-2016. During the week the index manages to hit a high of 10030 and close the week around the levels of 9684.

Support for the index lies in the zone of 9520 to 9580 where Fibonacci level is lying and short term moving averages are lying. If the index manages to close below these levels then the index can drift to the levels of 9300 to 9350 where 200 Daily SMA and breakout levels are lying.

Minor resistance for the index lies in the zone of 9750 to 9800. Resistance for the index lies in the zone of 10000 to 10100 from where the index sold off in the month of November-2016. If the index manages to close above these levels then the index can move to the levels of 10200 to 10250 where trend-line joining highs of September-2016 and October-2016 is lying.

Broad range for the index is seen from 9300 to 9350 on downside & 9900 to 9950 on upside.