Reliance Industries surges over 3% for the second straight day taking Nifty above 16750!

Reliance Industries continues its bullish momentum and surges over 3% during the initial hours of Friday.

In the past two days, shares of Reliance Industries zoomed about 7% and have contributed about 90 points towards Nifty. With this, the index has seen a good surge from 16400-level to 16800-level in the past few days. Moreover, the stock has been on the top gainers’ list for the second consecutive day.

On the technical chart, the stock is well off from its May low of Rs 2370. It has jumped about 18% since then and has recorded above-average volumes. Today, the volume is greater than the 10-day average volume. With this, it is approaching its 52-week high level of Rs 2856.15.

As per the technical parameters, the stock possesses strong bullishness. The 14-period daily RSI (66.04) has jumped into the bullish territory and demonstrates an uptrend. The ADX (18.57) indicates an uptrend and points northwards. Meanwhile, MACD histogram is rising steadily and shows good bullish momentum. The KST and TSI indicators maintain buy signal. The stock is about 10% above its 20-DMA and 14% above its 200-DMA. Meanwhile, all the key moving averages indicate a strong uptrend.

Despite being a heavyweight in Nifty 50 index, Reliance Industries has surged over 18% against Nifty’s negative 5% on a YTD basis. This shows the outperformance of the stock against the other stocks on the index. It has indeed turned out to be a wealth-creator, having doubled its value in just three years.

Considering its bullish performance, the stock is expected to test the levels of Rs 3000 in the short to medium term. The recent surge in crude oil prices has benefited the company, while its telecom and retail businesses are booming. The oil-to-telecom conglomerate is active in strategic investments and acquisitions. Positional investors, as well as investors, can consider this stock for good gains.