Reliance Industries Ltd (NSE: RELIANCE): After a period of boom in the stock market, massive profit booking is being seen on Monday. Oil prices are rising amid geo-political tensions and at the same time, there is selling in the market from high levels.
The selling was so intense that Nifty did not respect the big support level of 26,000 and came down to its next support level of 25,900.
Strength is being seen in the Indian economy and macro and micro are looking better from here. After a steep rally in the market, one can expect some buying on such a decline.
However, there is also a fear that in the changed situation, along with profit booking, fresh selling may also come, or else the correction of Nifty may deepen further.
In Monday’s fall in the stock market, the share of Nifty heavyweight Reliance Industries Ltd also fell by 3 percent. On Monday afternoon at 12 noon, Reliance Industries Ltd’s share was trading at Rs 2,976.05 with a decline of 2.50 percent.
This stock with a market cap of Rs 19.32 lakh crore has been rising continuously since September 11. Experts are advising to buy this stock amid Monday’s fall.
A stock market expert has advised buying Reliance Industries shares on the decline. He said that the positive trend in Reliance Industries Ltd share will continue in the future as well. He also gave a price target of 3,200 rupees on Reliance Industries Ltd’s share.
Reliance Industries’ share fell on Monday after 3 consecutive days of gains. The price is above the 20-day, 5-day, 50-day, 100-day, and 20-day moving averages. Reliance Industries’ share has been receiving heavy volumes for the last few trading sessions.
This month Reliance Industries announced the issue of bonus shares at the ratio 1:1. It means that one share will be given to each share held by the company.
Reliance Industries Ltd’s bonus announcement is also the largest bonus equity share issue in the country so far. But, Reliance Industries has not yet revealed the date of record for bonus shares.
Quick Fact
| Company name | Reliance Industries |
|---|---|
| Market cap | ₹19.32 lakh crore |
| Monday’s fall | 3% |
| Share decline on Monday (at noon) | 2.50% |
| Possible target price | ₹3,200 |
| Bonus shares ratio | 1:1 |
| Moving averages | Above 20-day, 5-day, 50-day, 100-day, 20-day |
| Expert advice | Buy on the decline |
| Trend | Positive trend expected |
| Recent trading volume | Heavy volumes |
| Bonus share announcement | Largest bonus issue in India |
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