Maruti, Eicher Motors: Can auto stocks sustain the rally? Chart check here

Technical charts show the Nifty Auto index can potentially rally another 10% to 26,180 levels; while select stocks such as M&M, Tata Motors and Ashok Leyland can surge up to 15%.

Auto shares have rallied smartly in the last two trading sessions after automobile companies reported strong sales for December 2024. On Thursday, the Nifty Auto index was the top gainer, up over 2 per cent while the NSE benchmark Nifty 50 index jumped 1.3 per cent.  Among individual shares Eicher Motors hit a new all-time high, and surged up to 7 per cent. Among others, Maruti and Ashok Leyland rallied around 5 per cent each, while Mahindra & Mahindra, TVS Motors and Bajaj Auto gained 2-4 per cent each.  Given the recent traction, can auto stocks sustain the rally or will they soon witness selling pressure. Here's how key auto stocks are placed on the charts.  Nifty Auto  Current Level: 23,808  Upside Potential: 10%  Support: 23,660; 23,590  Resistance: 24,200; 24,670; 24,740  The Nifty Auto index is witnessing a fresh breakout on the daily scale, provided the index closes above 23,660 today, after a gap of three months. Key momentum oscillators too have shown a positive crossover indicating a likely favourable trend going ahead. A weekly close above 23,590 can further strengthen the case. The same are now expected to act as near-term supports.  In the short-term, the Nifty Auto index can potentially rally to 26,180 levels, with interim resistance likely around 24,200, 24,670 and 24,740 levels. CLICK HERE FOR THE CHART  Maruti  Current Price: Rs 11,745  Upside Potential: 6.7%  Support: Rs 11,580; Rs 10,950  Resistance: Rs 11,815; Rs 11,875  Maruti Suzuki India stock has surged over 8 per cent in the last two trading sessions and is now seen testing resistance around its 100-DMA (Daily Moving Average) for the first time since October 22, 2024. The 100-DMA and 200-DMA at Rs 11,815 and Rs 11,875 are likely to act as immediate hurdles for Maruti in the near-term. On the upside, the stock can potentially spurt to Rs 12,530. CLICK HERE FOR THE CHART  The long-term chart shows that Maruti has managed to seek support around its 20-MMA (Monthly Moving Average) - a key moving average the stock has respected since August 2020. The 20-MMA now stands at Rs 10,950, while near support for the stock is seen at Rs 11,580.    Eicher Motors  Current Price: Rs 5,220  Upside Potential: 11.1%  Support: Rs 5,135; Rs 5,030  Resistance: Rs 5,430; Rs 5,615  Eicher Motors has given a fresh breakout on the daily chart. The stock is expected to trade on an upbeat note as long as it sustains above Rs 5,030; with near support seen at Rs 5,135. On the upside, the stock can potentially surge to Rs 5,800 with interim resistance likely around Rs 5,430 and Rs 5,615 levels. CLICK HERE FOR THE CHART  Mahindra & Mahindra  Current Price: Rs 3,192  Upside Potential: 9.7%  Support: Rs 3,168; Rs 3,080  Resistance: Rs 3,282; Rs 3,347  Mahindra & Mahindra is likely to trade with a bullish bias as long as the stock holds above Rs 3,168; with far-off support seen at Rs 3,080. On the upside, the stock can potentially surge to Rs 3,500; with interim resistance seen at Rs 3,282 and Rs 3,347. CLICK HERE FOR THE CHART  Tata Motors  Current Price: Rs 758  Upside Potential: 14.8%  Support: Rs 733; Rs 726  Resistance: Rs 777; Rs 795; Rs 820  Tata Motors stock is seen testing support around its 20-MMA - a key indicator the stock has not violated since December 2020. The 20-MMA stands at Rs 726; with near support seen at Rs 733. On the upside, the stock can potentially bounce back to Rs 870 with interim resistance likely around Rs 777, Rs 795 and Rs 820 levels. CLICK HERE FOR THE CHART  Ashok Leyland  Current Price: Rs 234  Upside Potential: 13.3%  Support: Rs 226; Rs 221  Resistance: Rs 239; Rs 249  Ashok Leyland has bounced back above its 20-DMA after struggling around the 200-DMA in recent trading sessions. The moving averages indicate likely support for the stock at Rs 226 and Rs 221, respectively, going ahead. On the upside, the stock can potentially jump to Rs 265 with interim resistance likely at Rs 239 and Rs 249. CLICK HERE FOR THE CHART