Nifty Auto Outlook for the Week (Dec 07,2020 – Dec 11,2020)

For the Week: (Dec 07,2020 – Dec 11,2020)

NIFTY AUTO Index closed the week on positive note gaining 410.60 points 4.62%.

Weekly High: 9,408.75

Weekly Low: 8,855.05

Weekly Close: 9,302.20

Weekly Support & Resistance For Nifty Auto Index:

SUPPORT 1 8,968
SUPPORT 2 8,634

NIFTY AUTO index opened gap up and rallied throughout the week. However, index witnessed some profit booking at fag end of the week. Index ended with fifth consecutive weekly gain. We expect index could witness profit booking or sideways corrective action, it is wise to adopt buy on dip strategy going forward.

Technically on the daily charts we see minor support on the downside for NIFTY AUTO index lies at 9100 levels, whereas minor resistance on the upside is capped around 9550-9600 levels.

If NIFTY AUTO index breaches minor support on the downside and closes below it, we may see fresh break down and index can drag towards major support on lower side around 8800 and if breaches minor resistance on the upside and closes above it, we may see fresh breakout and index can head towards higher levels around 9900.

Currently NIFTY AUTO index is trading above 200 days exponential moving average and suggests long term trend is bullish. EquityPandit’s analyst predicts range for the week is seen from 8900 on downside and 9700 on upside.