Technical check on buzzing stock: Mahindra Holidays & Resorts India

Mahindra Holidays & Resorts India Ltd (MHRIL), a part of leisure & hospitality sector of Mahindra Group offers quality family holidays primarily through vacation ownership memberships and brings industry values such as reliability, trust & customer satisfaction.  

Started in 1996, the company's flagship brand, ‘Club Mahindra’ today has over 2,50,000 members, who can holiday at 100+ resorts in India & abroad.  

As of today, the stock has logged double-digit gains on the bourses during Wednesday’s trading session while its volume recorded is the highest in the recent times.   

Let’s have a look at its technical structure: 

The stock is trading above the prior parallel resistance. It is moving in an upward channel and retraced 38.2 per cent of the previous fall. Wednesday's move of over 10 per cent on the back of the highest volume in the last seven years indicates a huge accumulation of interest.  

The stock is also above the Anchored VWAP. The MACD line is above the signal and near the zero lines. The histogram shows an increased bullish momentum. The positive directional momentum indicator i.e. the +DMI reached above the three-year high. The Elder impulse system has given a buy signal. Pring's KST is above to give a buy signal. Meanwhile, all the momentum indicators are showing bullish strength. A close above Rs 263 is quite positive for the stock.