The Goods and Services Tax (GST) Council would look into the auto industry’s demand for lowering the tax rate on two-wheelers from the current 28 per cent. The assurance came during an interaction Finance Minister Nirmala Sitharaman had on Tuesday with members of the Confederation of Indian Industry (CII).
The development triggered a rally in most two-wheeler counters on Wednesday. Hero MotoCorp, for instance, surged over 4 per cent to Rs 3,095.40. The counter hit its 52-week high of Rs 3,124.95 per share during the intraday trade. READ ABOUT IT HERE
Here are the key levels for the stocks of leading two-wheeler companies you must keep a tab on.
Bajaj Auto Limited (BAJAJ_AUTO): The Relative Strength Index (RSI) has seen buying momentum on a dip towards 50 values. This has pushed the price to higher levels that suggest any corrective move is getting bought into. The “Golden Cross” formation indicates a breakout at Rs 3,150 levels. If the stock is able to conquer this level, it may may see a rally towards Rs 3,400 levels in the sessions ahead. The support stays at Rs 2,954, which is it 50-days moving average (DMA).CLICK HERE FOR THE CHART
TVS Motor Company Limited (TVSMOTOR): This stock has entered in a bullish phase, as per the daily chart which indicates a “Golden Cross” formation and a possible rally towards Rs 480 levels. This also is TVS' 200-weekly moving average (WMA). The immediate support level comes in at Rs 447 and then at Rs 440. The current momentum appears to be highly bullish with price showing strength in despite the RSI being in an overbought condition. CLICK HERE FOR THE CHART
Hero MotoCorp Limited (HEROMOTOCO): The counter has conquered 200-WMA on good momentum and should scale up to Rs 3,250 and then Rs 3,300 levels. The price is showing significant strength despite the RSI being in an overbought condition. Any correction / dip in the stock should attract buying. Support on a closing basis stays at Rs 3,050 levels. CLICK HERE FOR THE CHART