Reliance shares extend losing streak to fourth session amid block deal news; should you buy, sell or hold? | Mint
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Business News/ Markets / Stock Markets/  Reliance shares extend losing streak to fourth session amid block deal news; should you buy, sell or hold?
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Reliance shares extend losing streak to fourth session amid block deal news; should you buy, sell or hold?

Reliance Industries' share price falls 2.5% on block deal news, continues losing streak for fourth consecutive session.

Reliance Industries share price today opened at ₹2,422.95 apiece on BSE. RIL share price today touched intraday low of ₹2,361.60 and high of ₹2,426.40.Premium
Reliance Industries share price today opened at 2,422.95 apiece on BSE. RIL share price today touched intraday low of 2,361.60 and high of 2,426.40.

Reliance Industries (RIL) share price fell over 2.5% on Wednesday's trade Following news of a significant block deal after market opening. According to news report of CNBC-TV18, about 2 crore shares, or 0.3% of the company, were traded in the block deal, and 4,512 crore change hands in block deal window.

Reliance Industries share price today opened at 2,422.95 apiece on BSE. RIL share price today touched intraday low of 2,361.60 and high of 2,426.40. RIL share price continued its losing streak for the fourth consecutive session today. So far in the last four sessions, RIL share price has lost over 2%.

The deal is worth close to 5,000 crore. The transaction's buyers and sellers are not yet known, said a news report by CNBC-TV18.

Here's what analysts say

According to Rajesh Bhosale - Equity Technical and Derivative Analyst, Angel One, in the morning session, the stock prices experienced a block deal, leading to a significant decline in prices. Nevertheless, there hasn't been significant activity afterward, and there's been a slight recovery from the intraday lows. Currently, the prices are hovering around a critical support level represented by the 89-day exponential moving average (89EMA). The closing price will be of utmost importance in assessing the market's direction.

"If the closing price falls within the range of 2,410 to 2,430, it would suggest the possibility of today's decline being an extreme panic low, which could pave the way for an upward trend in the near future. On the contrary, if prices remain below 2,370, it's likely that we might see further corrections in the short term. Traders should closely monitor these levels at the time of closing and make their decisions accordingly," advised Bhosale.

Ruchit Jain, Lead Research Analyst at 5paisa, said that RIL stock is consolidating in a range since the recent demerger. However, the longer term trend is positive and hence, one should keep a buy on dip strategy and accumulate on dips.

According to Prashanth Tapse, Research Analyst, Senior Vice President of Research at Mehta Equities, index heavyweight, Reliance Industries is under pressure and trading nearly to its July-23 levels. The fall was triggered by huge volumes as shares changed hands on the exchanges due to a block deal.

“Technically, we believe downside seems to be limited and we don't think it would go below 2350 levels. For fresh buying: 2,300 to 2,350 zone would be good levels to accumulate and existing traders and investors can hold," advised Tapse. 

RIL stock today was among the Nifty 50 and S&P BSE Sensex's top five laggards. As per trendlyne data, Reliance Industries share price fell 4.1% and underperformed its sector by 10.3% in the past year.

Also Read:Reliance Industries share price Today Live Updates : Reliance Industries stock dips in trading today

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Published: 20 Sep 2023, 11:40 AM IST
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