Reliance Industries (NSE: RELIANCE) share price has been showing great strength for the past couple of months. The shares have rebounded strongly from their March lows and are now trading at their highest level of the year. However, after a major price rally, further upside seems to be limited.
Indian equities have been on fire since March 2023. The benchmark indices, Nifty 50 and Sensex, have hit their new all-time high due to the prevailing bullishness in the markets. Reliance shares have surged 25% during this time, outperforming both top indices.
As per the latest Reliance Industries news, the industrial giant has kept the prices of PVC resin suspension grades constant with effect from July 13. This will be applicable to the domestic market only. In other news, Reliance is one of the three companies eligible to submit a plan for the Future Enterprises for the latter’s bankruptcy proceedings.
Indian stocks are getting strong tailwinds from the strong economic data. The strength in Indian Rupee is also keeping the environment favorable for industries. The surge in Reliance Industries share price can also be attributed to an 8% increase in Q1 earnings from market estimates.
It can be seen in the following NSE: RELIANCE has been trading within 2200-2750 range for the past 2 years. The top of this range has resulted in intense rejections for the price. Right now, the shares are retesting this level once again. The RSI and MFI indicators are showing bearish divergences.
While it is quite likely that Reliance shar price may soon hit a new all-time high, it still needs to flip 2850 level into support. This may open doors to a massive upside into unchartered territories. However, another rejection from range high may cause a significant pullback till 2450.
In the meantime, I’ll keep sharing updated Reliance stock forecast and my personal trades on my Twitter where you are welcome to follow me.
This post was last modified on Jul 13, 2023, 14:31 BST 14:31