RBL Bank, Mahindra Holidays and Hikal shares: Buy, Sell or Hold —What should investors do?

The Indian market was trading firm on Thursday after opening higher by around half per cent on Thursday. The Nifty50 reclaimed 17,700 in early trade and was trading at 17,687.20 with 0.47% gain in intraday trade on Thursday. Likewise, Sensex rose 293.28 points or 0.50% to 59,378.71.  

The support came from broader market and sectoral indices. Nifty Midcap was seen trading with a gain of 0.60%, while the Smallcap rose by 0.90% in early trade.  

On the sectoral front, IT, Pharma and Healthcare witnessed profit booking, while Nifty PSU Bank rose more than two per cent. Nifty Consumer Durables was another notable gainer with over one per cent jump.  

Meanwhile, certain stocks came in focus on Wednesday. These stocks were RBL Bank, Mahindra Holidays and Hikal. RBL Bank surged around 7% to Rs 132.60 per share on BSE in Thursday's intraday trade amid spurt in volume. Mahindra Holidays declined 2% to Rs 263.25 and Hikal traded flat at Rs 336.45 per share on the BSE.  

Here is what Santosh Meena, Head of Research, Swastika Investmart Ltd. Recommends investors should do with these stocks 

RBLBANK: In Wdnesday’s trading session, the counter has bottomed-out its primary downtrend with colossal Volume. The Overall structure is distorted, but it trades above its 9, 20, and 100 moving averages, however, it is having a demand zone near 104. On the upside, Rs 132 is an immediate susceptible area; above this, we can expect a run-up towards 150+ levels in the near term.  

MAHINDRA HOLIDAYS (MHRIL): The Stock has witnessed a breakout of bullish inverse head and shoulder formation with the surge in volume on the Daily Chart and retests its neckline support around Rs. 240. Now, it is starting the next leg of a rally where 280 is an immediate resistance level. Above this, we are expecting a move towards the 340 level. On the downside, Rs. 230 is major support at any correction.  

MACD (Moving average convergence divergence) is supporting the current strength whereas momentum indicator RSI (relative strength index) is also positively poised.  

HIKAL: The counter has shown a massive selloff from their all-time high level of Rs. 742 and follows a downtrend till Rs. 200 level. Now it has bottomed out of its primary downtrend with colossal Volume.  

The counter has shown trend reversal, as it also trades above its 9, 20, and 100 moving averages. MACD (Moving average convergence divergence) is supporting the current strength whereas momentum indicator RSI (relative strength index) is also positively poised. On the upside, 380 is an immediate susceptible area; above this, we are expecting a long run-up towards 420 levels. On the downside, 270 is the critical level.