My feeling is that Eicher will surely be affected by demonitization, atleast on the 2-wheelers side. Though we can say the impact will be less than that on bajaj and hero, since royal enfield caters to a niche segment of customers. Bajaj has already estimated a 25% Y-o-y degrowth in next month sales in an interview .
Overall the immediate future does not look good for 2-wheelers segment, since a majority of transactions were done with cash. There is a possibility that we might see further correction when the sales figures are out, but on the long term the story seems to be intact.
Disc-Not holding, looking to enter at around 19000 levels