Will 'Brahmastra' revive bullish bias for PVR, Inox? Check what charts say

Despite the 15 per cent correction from record highs, touched in August, PVR and Inox Leisure have managed to sustain above their respective 200-DMAs

Shares of listed multiplex players recouped weekend losses,and were seen trading on a buoyant note so far on Monday. Inox Leisure surged 5 per cent and PVR gained 4 per cent intra-da. They were also among the top 20 most active stocks in the Nifty 500 index.

Earlier on Friday, both, Inox Leisure and PVR had plunged 5 per cent each after the Ranbir Kapoor, Alia Bhatt-starrer Brahmastra movie got off to a lukewarm start. However, according to various entertainment portals, the move did good business over the weekend and also garnered Rs 160 crore worldwide at the box office. After a series of flops from Bollywood, multiplex players have pinned their hopes on Brahmastra for a change in fortunes.

Meanwhile, so far this year, shares of  Inox Leisure and PVR have soared 46 per cent each and have recorded historic peaks in August 2022. While both the stocks are now down 15 per cent from their respective highs, they have managed to hold above the 200-day moving average (DMA), which the investor community considers as a relevant indicator.

In March 2022, PVR and Inox Lesiure had announced a merger to create the largest multiplex chain in India. Both the companies have received clearance from the exchanges BSE and NSE. Further, PVR shareholders and creditors are scheduled to meet on October 10 to consider the Inox merger proposal. READ MORE

Meanwhile, here's a technical outlook on the multiplex players:- 

Inox Leisure Ltd (INOXLESIUR)

Outlook: Breakout over Rs 540

The weekly chart of Inox Leisure exhibits "Higher High, Higher Low" formation with the Relative Strength Index (RSI) witnessing profit booking in the overbought category. The border outlook is positive as the stock trades with a cushion of Rs 450, its previous reversal low. An up move above Rs 540 could trigger a fresh rally in the direction of Rs 580 to Rs 600. On the downside, immediate support for the stock exists at Rs 480 level. CLICK HERE FOR THE CHART

PVR Ltd (PVR)

Outlook: Breakout over Rs 2,000

There is a "Golden Cross" breakout on the weekly chart of PVR. At present, an up move above Rs 2,000-mark could instill fresh bullish sentiment in the short-term for the stock. On the flip side, only if the stock slips below Rs 1,750 then the outlook may turn negative. The 50-DMA is placed at Rs 1,719 and 200-DMA at Rs 1,509. A rally above the Rs 2,000-mark, could see the stock test Rs 2,150 level, shows the daily and weekly chart. CLICK HERE FOR THE CHART