Ashok Leyland may test Rs 100, says Shubham Agarwal

Shubham Agarwal of Motilal Oswal Securities told CNBC-TV18, "We are talking about an oscillation in Ashok Leyland which is already there into action within the overall range. So, Rs 84 to Rs 100 is the oscillation zone which has been there for the stock despite the fact that we have been seeing that the Nifty has been correcting. The stock has definitely been showing some relative outperformance and the overall sectoral view also remains positive.""On the short-term chart, we have a continuation pattern from where yesterday, we did see some action coming into play. So, we expect this mean reversal to happen and Rs 100 is what we are expecting on the short-term chart. So, that is a call for two to three weeks and this can be played with a stop loss at Rs 88," he said."If we look at the overall sectoral behaviour in auto, we believe that there is some more outperformance that we might see on the medium-term scale. So, if you look at Maruti Suzuki, yesterday, this is a piercing line pattern which makes us believe that it may not be a long-term move, but at least from a short-term perspective we believe that Rs 4,500 is the level that can be seen and for that, one can trade with a stop loss at Rs 4,240.""If you look at the Tata Motors' chart, for some time, we have been seeing a decline happening there and then there was a down gap that was formed. But, even though we believe that that is very much exhaustion in nature and we can expect a temporary bounce which can take the stock towards Rs 390. So, auto may not be a very immediate bounce, but then some of the stocks can still be placed positive which are Tata Motors and Maruti where we can see another 5-8 percent movement on the positive side."