EquityPandit’s Outlook for NIFTY Auto for the week  (May 02, 2017 – May 05, 2017) :

NIFTY AUTO:

Nifty AUTO index closed the week on negative note losing around 0.50%.

As we have mentioned last week that support for the index lies in the zone of 9840 to 9870 where short term moving averages are lying. If the index manages to close below these levels then the index can drift to the levels of 9730 to 9780 where the index broke out after consolidation. Below these levels the index can drift to the levels around 9650 to 9700 where medium term & 200 Daily moving averages are lying. During the week the index manages to hit a low of 9871 and close the week around the levels of 10255.

Support for the index lies in the zone of 10050 to 10100 from where the index broke out of March-2017 and April-2017 highs. If the index manages to close below these levels then the index can drift to the levels of around 9850 to 9900 where short term moving averages are lying.

Resistance for the index lies in the zone of 10350 to 10380. If the index manages to close above these levels then the index can move to the levels of around 10450 to 10500 where the index has formed a top in the month of September-2016.

Broad range for the index is seen from 10000 to 10050 on downside & 10400 to 10450 on upside.