RIL stock falls 14% from January high; what lies ahead for the index heavyweight?

Shares of Reliance Industries Ltd (RIL) on Friday settled 0.81 per cent lower at Rs 1,380.60. At this closing level, the frontline stock has fallen 14.31 per cent from its 52-week high of Rs 1,611.20, touched earlier this year on January 5.

In a recent social media post, US President Donald Trump said the Mukesh Ambani-led oil-to-telecom conglomerate will invest in a refinery to be built in Brownsville, Texas, as part of a $300 billion deal aimed at boosting American energy production and strengthening economic ties with international partners.

Earlier, RIL had informed exchanges that it was taking proactive steps, in line with government guidelines, to maximise LPG production from its refining and petrochemicals complexes at Jamnagar, the world's largest integrated refining hub.

"Our teams are working around the clock to optimise refinery operations and enhance LPG output so that supplies to the domestic market remain stable and reliable. At the same time, natural gas produced from the KG-D6 Basin will be diverted to support supply to priority sectors, in line with national energy priorities and government guidelines," the company said.

From a technical standpoint, immediate support for RIL's counter is seen in the Rs 1,371–1,375 range, while resistance may be placed above Rs 1,420.

Ravi Singh, Chief Research Officer at Mastertrust, said, "RIL's stock appeared weak on charts and could slip towards Rs 1,350 in the near term. On the higher end, Rs 1,440 would act as resistance. Investors can consider buying around Rs 1,300 level."

Kunal Kamble, Senior Technical Research Analyst at Bonanza, said, "Reliance trades near Rs 1,380, below a key pivot around Rs 1,402, with upside barriers at Rs 1,421–1,472 and support at Rs 1,371–1,321. Daily indicators lean mildly bearish to neutral, suggesting consolidation. Aggressive traders may buy near supports and trim near resistance with strict risk management."

Jigar S Patel, Senior Manager – Technical Research at Anand Rathi, noted, "Support is seen at Rs 1,375, while resistance is placed at Rs 1,435. A decisive move above Rs 1,435 could push the stock towards Rs 1,455, with the expected short-term trading range pegged between Rs 1,375 and Rs 1,455."