Date:10/08/2008 URL: http://www.thehindubusinessline.com/bline/iw/2008/08/10/stories/2008081050270901.htm

Back Reliance

RIL moved in an extremely narrow band between Rs 2,200 and Rs 2,350 last week resulting in a doji in the weekly chart that implies indecisiveness.

The stock is currently struggling with the 200-day moving average at Rs 2,310.

There is another crucial Fibonacci retracement resistance at Rs 2,440. The medium-term outlook will turn positive only if these impediments are surpassed.

Else, a sideways move between Rs 2,000 and Rs 2,400 can ensue for a few more weeks.

The near-term trend for the stock is however up. We adhere to the view that it can move higher to Rs 2,468 or Rs 2,485 in the near-term. Short term traders can hold their long positions with a stop at Rs 2,165.

— Lokeshwarri S. K.