Maruti, Tata Motors: How to trade auto stocks ahead of Q4 results

Maruti needs to conquer Rs 7,750 convincingly to uphold the positive momentum. One can look for buying opportunities around Rs 205 - Rs 212 levels in Tata Motors.

NIFTYAUTO: The index has halted around 9,000 levels, a trend line support of an earlier breakout which now looks like a resistance, as it failed to nurture the upside. The technical indicators RSI (Relative Strength Index) and MACD (moving average convergence and divergence) have witnessed selling pressure in the overbought territory around the same levels. A reversal from a nearby trend line level of 9,100 indicates a stiff selling pressure and upside to witness strong resistance.
 

The current market trend around 8,750 level suggests a support of 100-day moving average (DMA) at 8,700. One can expect