Say Ta-Ta to Tata if it Cannot Rally Now

The recently-galavized stocks of both General Motors and Ford aligns neatly with reports of much stronger auto sales than many had expected. GM and F had both been mired in corrective chart pattens for a long time, frankly.

However, both names were essentially wiped out my short radar several months back when buyers began stepping with with conviction, as seen in the heavy and steady buy volume GM enjoyed over the summer. Ford has not been far behind, either, surging back over its 200-day moving average for the first time in a good while. 

Going forward, as long as F and GM see pullbacks contained to around 4-6% off recent highs, we are looking at a long-term bullish development, especially for GM from a technical perspective. And then, of course, we know TSLA is always in the mix as a cutting edge, disruptive. 

But given the rally in India in 2017, even with a recent dip, I still come back to Tata Motors, the car manufacturer based in Mumbai. If there were ever a time for TTM to rally, it would seem to be now. On the daily chart, below, there is a possibility of a base and handle bottom, targeting at least the 200-day moving average, above. It has been peculiar that TTM has basically been pulling for a full year now. At times, just like we have seen with F and GM, auto makers can sleepwalk through bull markets. 

However, at some point they tend to wake up in an abrupt and powerful way. I am looking to see whether Tata can do just that in this fourth quarter.