This NBFC stock jumped 10 per cent last week; is it the right time to bank on it?
The stock has broken out of a bullish pattern and a move above Rs 198 is positive for the stock.
The stock of Mahindra & Mahindra Financial Services Ltd jumped over 10 per cent in the last week. With this strong upmove, the stock has broken out of a nine-week consolidation and 33-week cup & handles-like pattern with a massive volume last week.
The stock has also managed to close above the sloping trendline resistance. Currently, it is trading 17 per cent above the 200-DMA and 11.74 per cent above the 50-DMA. All the short and long-term moving averages are in the uptrend. The RSI closed above the prior swing high and is in a strong bullish zone. The MACD histogram also shows a strong bullish momentum. The +DMI is also above the prior swing high, and the ADX has turned up. The Elder impulse system formed a series of bullish bars and is trading above the Anchored VWAP. The KST and TSI indicators have given bullish signals. In short, the stock has broken out of a bullish pattern. A move above Rs 198 is positive for the stock.