Reliance Industries continues to be in a large range: Gautam Shah, JM Financial
A move like today’s actually a selling opportunity for the entire oil and gas space.
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| Gautam Shah, CMT and Vice President, Financial Services, JM Financial, in a chat with ET Now talks about Reliance Industries.
What is your view on Reliance Industries?
If you look at the entire oil and gas space, it has been an underperformer for the last 15 to 18 months. You have seen a single day, 2 days rallies in stocks like Reliance and ONGC many times but they have never really sustained. So from a technical standpoint, from a purely price action perspective, today’s move has not done enough to really confirm an uptrend as yet and the stock continues to be in a large range just like the oil and gas index itself.
We continue to dislike the oil and gas technical chart itself and the space has downside for another 5-10% and might just lead the market on the downside whenever we actually hit a lower low. So a move like today’s actually a selling opportunity for that entire space.
What is your view on Reliance Industries?
If you look at the entire oil and gas space, it has been an underperformer for the last 15 to 18 months. You have seen a single day, 2 days rallies in stocks like Reliance and ONGC many times but they have never really sustained. So from a technical standpoint, from a purely price action perspective, today’s move has not done enough to really confirm an uptrend as yet and the stock continues to be in a large range just like the oil and gas index itself.
We continue to dislike the oil and gas technical chart itself and the space has downside for another 5-10% and might just lead the market on the downside whenever we actually hit a lower low. So a move like today’s actually a selling opportunity for that entire space.
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