RELIANCE - Technical Analysis

Last Updated Time : 02 Aug 25, 12:58 am

📊 Technical Analysis for RELIANCE (Reliance Industries Ltd.)

Technical Rating: 3.3

📈 Trend Overview

Current Price: ₹1,417

50 DMA / 200 DMA: ₹1,441 / ₹1,374 — price is below short-term average, but above long-term, indicating loss of momentum in an otherwise uptrend.

RSI (40.4): Bearish zone — approaching oversold territory.

MACD (-18.2): Bearish crossover — confirms downward momentum.

Volume: Slightly above average — active trading, but not bullish.

Conclusion: The stock is consolidating with a bearish bias, showing signs of a possible reversal if support fails.

🔍 Chart Patterns & Indicators

Bollinger Bands: Price near lower band — oversold conditions, potential bounce if support holds.

Support Levels: ₹1,374 (200 DMA), ₹1,340 (recent swing low)

Resistance Levels: ₹1,441 (50 DMA), ₹1,480 (minor swing high)

Trendlines: Flat to slightly descending — no breakout pattern visible.

🚀 Momentum Signals

Short-Term Signal: Weak bearish momentum; MACD and RSI suggest caution.

Volume Trend: Slight uptick — may indicate bottom fishing, but lacks confirmation.

🎯 Entry & Exit Zones

Action Price Zone Rationale

Entry (Buy) ₹1,374–₹1,390 Near support, oversold conditions

Exit (Sell) ₹1,441–₹1,480 Resistance zone, potential rejection

📉 Market Sentiment & Fundamentals

FII & DII Holding ↑ — institutional sentiment is mildly positive.

Quarterly PAT ↑ 35.6% — strong earnings growth.

PEG Ratio (4.38): Indicates premium valuation relative to growth.

Debt-to-Equity (0.44): Moderate leverage — manageable.

Dividend Yield (0.35%) — modest income potential.

🧭 Final Take

RELIANCE is consolidating with signs of bearish pressure, despite strong fundamentals. Traders may consider short-term range-bound strategies, while investors should wait for a volume-backed reversal or technical breakout.

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