The move higher was helped by optimism around the proposed Jio Platforms IPO, which could unlock value for Reliance shareholders, alongside expectations around its AI, new-energy and digital businesses. More recently, Reliance also reported stronger than expected quarterly results, with strength in its O2C and Jio businesses.
But despite the fundamental strength and the recent rally, my technical bias is still bearish on the higher timeframe.
Reliance has been in a broader downtrend after rejecting from the ₹1,575–₹1,600 region.
Since then, price has been creating a series of lower highs and lower lows. The recent rally has brought price back toward the ₹1,350 area, which is an important resistance zone and the level I have marked for a potential short.
My expectation is that price could first push higher into this area, potentially creating the liquidity needed for the next leg down.
From there, I would be watching for confirmation of my bearish idea.
The long-term target I have marked is around ₹1,111, which is the previous major low and the area where I expect price could eventually seek liquidity.
So my technical idea is:
Retracement into ₹1,350 → rejection → bearish continuation → ₹1,111 long-term target.
The recent pump does not invalidate the bearish structure for me. In fact, a retracement higher into resistance could provide the exact setup I am waiting for.
But despite the fundamental strength and the recent rally, my technical bias is still bearish on the higher timeframe.
Reliance has been in a broader downtrend after rejecting from the ₹1,575–₹1,600 region.
Since then, price has been creating a series of lower highs and lower lows. The recent rally has brought price back toward the ₹1,350 area, which is an important resistance zone and the level I have marked for a potential short.
My expectation is that price could first push higher into this area, potentially creating the liquidity needed for the next leg down.
From there, I would be watching for confirmation of my bearish idea.
The long-term target I have marked is around ₹1,111, which is the previous major low and the area where I expect price could eventually seek liquidity.
So my technical idea is:
Retracement into ₹1,350 → rejection → bearish continuation → ₹1,111 long-term target.
The recent pump does not invalidate the bearish structure for me. In fact, a retracement higher into resistance could provide the exact setup I am waiting for.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.