Why is Cholaman.Inv.&Fn falling/rising?

As of 01-Aug, Cholamandalam Investment & Finance Company Ltd is experiencing a decline in its stock price, currently at Rs 1,422.40, reflecting a decrease of Rs 16.6 or 1.15%. The stock has been on a downward trend, having fallen for the last nine consecutive days, resulting in a total return of -9.63% during this period. Despite touching an intraday high of Rs 1,481.2, it also reached a low of Rs 1,404.95. The stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. However, there has been a notable increase in investor participation, with delivery volume rising by 268.46% against the 5-day average. While the stock has shown strong long-term fundamentals, including a healthy return on equity and consistent positive quarterly results, the recent price movement suggests that short-term pressures are outweighing these strengths.
In the broader market context, Cholamandalam's short-term performance has been notably weaker than the benchmark, with a 1-week return of -5.48% compared to the Sensex's -1.06%. This underperformance in the short term contrasts with its year-to-date return of +19.88%, which significantly outpaces the Sensex's +3.15%. The stock's recent struggles may be attributed to market sentiment and investor behavior, despite its strong fundamentals and high institutional holdings, which typically provide a buffer against volatility. The current liquidity levels indicate that the stock remains accessible for trading, but the ongoing decline suggests that investors may be cautious in the face of recent performance trends.