RIL share price outlook: Expert says correction expected in near term; reveals strategy for investors

Reliance Industries Share Price Outlook: Reliance Industries Limited (RIL) is currently in a consolidation phase and the stock has faced resistance around Rs 2300-Rs 2350 mark, Technical and Derivatives Analyst Nilesh Jain at Anand Rathi said. This RIL stock has been under consolidation for quite some time now, he added. 

At 12:30 pm, RIL share price was trading at Rs 2,165 on NSE, down by almost 0.5 per cent from the previous close on Tuesday. 

RIL stock saw almost uninterrupted rally from the levels around Rs 800 to Rs 2300 and some correction at this stage is a healthy sign, Jain said. What is happening now is a healthy correction, he maintained.   

Though the good part is that the recent correction in RIL share price was not accompanied by huge volumes, Jain said. This stock has a strong support zone between Rs 2000 and Rs 2050. Once this consolidation phase is over, investors can expect a movement on the higher side, he further said. 

His advice to investors is to remain on a long side. For those who are planning to invest or take fresh positions should look for levels between Rs 2100 and Rs 2150. The risk to reward ratio is better in this range, he said. He said that the momentum indicators on the technical charts suggest corrections from here so the investors can expect some correction in RIL stocks going forward. 

On the positional basis, he puts the stop loss at Rs 2000. The target price of this stock is between Rs 2400 and Rs 2500, Jain said.  

The risk-to-reward ratio is better in the range of Rs 2100 and Rs 2150. There is a risk of Rs 100 with a reward potential of Rs 300, he said. 

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RIL stock achieved its 52-week high of Rs 2369.35 on 16 September and its 52-week low of Rs 866.98 on 23 March.