Reliance Stock Breaks Key Support, Could Signal End of 11-Year Uptrend

After weeks of struggling near its 100-week moving average (WMA), Reliance Industries’ stock resumed its downward trend in late February. Since the end of January, the stock has declined by 8.5% and is now down 28.2% from its all-time high of ₹1,609, recorded in July 2024.

In a sharp fall during the latest trading session, Reliance hit a 15-month low. More significantly, the stock has now dipped below its long-standing super trend line support on the monthly chart for the first time in nearly 11 years. The last time it traded below this critical technical level was in April 2014.

Until February, Reliance managed to hold above the monthly super trend support at ₹1,200, even as markets faced broader declines. However, the stock has now traded below this level for two consecutive sessions. A confirmed monthly close beneath this key support could indicate the end of its long-term uptrend, which has lasted over a decade.

On Tuesday, Reliance stock was trading slightly lower at ₹1,167. Meanwhile, in an exchange filing, the company revealed that the Ministry of Petroleum and Natural Gas has issued a $2.81 billion demand against Reliance and its consortium partners—BP Exploration (Alpha) and NIKO (NECO)—related to a long-standing dispute over gas migration from ONGC’s blocks to the KG-D6 block.

Currently, Reliance stock sits at a crucial turning point, with a bearish outlook. Technical indicators suggest that its next move could define its trend in the coming months.