EquityPandit’s Outlook for NIFTY Auto for the week (January 09, 2017 – January 13, 2017) :

NIFTY AUTO:

Nifty AUTO index closed the week on positive note gaining around 4.00%.

As we have mentioned last week that support for the index lies in the zone of 9000 to 9050 where 200 Daily SMA is lying. Support for the index lies in the zone of 8800 to 8850 from where the index has bounced couple of times in the month of December-2016. If the index manages to close below these levels then the index can drift to the levels of 8400 to 8500 where the index has formed a low on Brexit day. During the week the index manages to hit a low of 9099 and close the week around the levels of 9507.

Minor support for the index lies in the zone of 9250 to 9300 where short term moving averages are lying. Support for the index lies in the zone of 9050 to 9100 where 200 Daily SMA is lying. Support for the index lies in the zone of 8800 to 8850 from where the index has bounced couple of times in the month of December-2016. If the index manages to close below these levels then the index can drift to the levels of 8400 to 8500 where the index has formed a low on Brexit day.

Resistance for the index lies in the zone of 9450 to 9550 from where the index has broken down from the multiple support zone which was holding the index in the month of August-2016 and November-2016. If the index manages to close above these levels then the index can move to the levels of 9800 to 10000 from where the index has broken down.

Broad range for the index is seen from 9200 to 9250 on downside to 9800 to 9850 on upside.