Reliance Industries Ltd moved past our first medium-term target to record an intra-week peak at Rs 1,679. Next medium-term target for this stock is around Rs 1,825. The medium-term up trend from the March 6 trough can end here since it occurs at 38.2 per cent retracement of the entire down-move from the January 2008-peak.
But if RIL gets past this level, the rally can go on to Rs 2,040. Investors should hold the stock with a stop at Rs 1,480.
The short-term trend in RIL is up and the shallow corrections since the first week of March indicate a strong bullish undercurrent.
Short-term resistances will be at Rs 1,752 and Rs 1,813. Short-term support would be at Rs 1,575 and Rs 1,497.