Escorts, Bajaj-Auto: Trading strategies for auto stocks post Feb sales nos

Auto index trades with a sluggish bias, may lose grip if falls below its 200-DMA

Nifty Auto index has remained a laggard in the February, post missing to reach a new historic peak. The index touched 13,539-mark, just 5 points shy of a new all-time high. Now, as the automobile companies released their sales numbers, which largely appeared mixed on the weak export numbers, the index is expected to be in the spotlight for coming sessions.

While Escorts Kubota and Ashok Leyland posted compelling sales numbers, Maruti Suzuki India and Bajaj Auto seem to have disappointed.  Maruti Suzuki export sales plummeted by 28 per cent, while Bajaj-Auto sales fell by 11 per cent. 

Escorts Kubota and Ashok Leyland