GOLDEN RULES FOR TRADING

Auto Stocks Outlook for the week – 28.12.2015 to 01.01.2016 Seen trading with positive bias; sales data eyed

Auto Stocks Outlook for the week – 28.12.2015 to 01.01.2016
Seen trading with positive bias; sales data eyed

Stocks of major auto companies are seen trading with a positive bias, taking cues
from the Nifty and led by an uptick in Hero Motocorp. Hero Motocorp, said analysts,
is on a breakout level and can possibly outperform the Nifty next week as well.
However, stocks that have already been bullish might just see a small pause. Maruti
will now be a risky buy because the stock has already seen a lot of big movement.
Compared with this, Hero looks a lot more attractive.

Ashok Leyland might see a small bounce-back after a couple of weeks that Haven't
had good news on the company's stock and quite a way from its current closing quote.
Stocks of auto companies will also react to news of their monthly sales numbers
which are expected on the first day of 2016. December is expected to be a positive
month for most auto companies, which have doled out big discounts ahead of price
revisions in the New Year.