• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Brand Quest
• The New Manager

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth
• Events 2007

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

RIL moved within a very narrow band last week. The near-term outlook for the stock stays negative since it is moving just below its long-term 200 day moving average. The stock is also hovering below the long-term trend line drawn from the 2005 trough. We stay with the view that RIL can move lower to Rs 2,030 or Rs 1,740 over the medium-term. Weakness in the weekly oscillators supports this view.

But our short-term support at Rs 2,120 has not been breached yet. Fresh shorts can be initiated only below this level. Resistances in the week ahead would be at Rs 2,450 and then Rs 2,600. Fresh longs are recommended only above the first resistance.

— Lokeshwarri S. K.

More Stories on : Technical Analysis | Stocks

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Is a buy-and-hold strategy optimal?

Copyright © 2008, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line