RELIANCE INDUSTRIES DAILY CHART
Reliance Industries, Daily Chart, Price closed at 2408.70
As you can see from the chart above the big red candle on the reliance daily chart. The price closed below its 200 DMA after taking support from it various times in previous weeks this time after a short bounce the bears broke the support with strong volume.
What does it mean?
Well, this means the leadership and strong momentum are taking a halt now and there will be no up move in the stock till it does not break and close above 2600-2620 on the upside.
The stock is a perfect candidate for the bears to short, with the next strong support at 2050-1900 it is a sell-on rally stock. Traders who are long shall use the stop loss for your position or hedge with the put option.
We expect a strong down move in the stock till 2620 is not breached, any uptrend will begin once the stock 1st sustains above 200 DMA which is at 2510, and there after the previous peak which is around 2620