Reliance - Clash of Bulls vs Bears in the Ring

[bbrijesh]

Reliance Industries has been experiencing a bullish rally, but the daily Heikin Ashi chart shows signs of exhaustion.

Following the bullish surge, a couple of doji candles suggest a potential momentum loss for the bulls. Interestingly, this exhaustion is particularly evident as the stock approaches the 20-month resistance level.

Despite the apparent signs of exhaustion, there are no clear bearish Heikin Ashi candles yet. This absence of bearish reversal patterns indicates that the bulls still maintain some control over the market.

The range breakout for Reliance is placed at 2,640, making this a crucial level for traders to watch. If the stock breaks above this resistance, it could signal a renewed bullish momentum. On the other hand, a failure to break through this level may intensify the exhaustion signals and potentially lead to a reversal. A successful breakout could propel the Nifty towards the 22,000 level.

[GUTTIKONDA VENKATA SAI-1696930693101]

@Brijesh-Bhatia please suggest some reading material on Heikin Ashi. thanks in advance.

[bbrijesh]

@GUTTIKONDA VENKATA SAI It is available on the Library of Definedge Securities page.

Click here https://www.definedgesecurities.com/library/close-above-previous-n-bars-heikin-ashi/