The short-term trend remains bullish as long as the index holds the 10,550-10,500 level — which also coincides with the 100-DMA, according to technical analysts. The automobile sector, especially stocks like Hero MotoCorp and M&M, are expected to give 20-30 per cent returns, while FMCG could continue to witness a bullish momentum.The Nifty remained under pressure in last two trading sessions. The index is currently hovering around the previous breakout level of 10,600, which may now act as a strong support for the index. Till the time, the Nifty trades above this level, bulls have nothing to fear. If the index breaks below 10,495 level on closing basis, then we may see more profit booking and the Nifty may show further weakness towards 10,350 and 10,300 levels.

Source: Economic Times May 07, 2018 02:15 UTC