Description
⋅ Observation
-> RSI Divergence (Red line): 11 MAY to 8 June 2020
-> Price & volume : Price is increasing & volume is decreasing : Bearish
-> Fiboonaci extension used to find short term upside movement which can be a point of reversal.
Remark
RIL has tested 1600 level for the third time, hence there can be a + Breakout. ( Extension levels, marked with black lines)
Being a heavyweight of NIFTY 50 we can see some rally in RIL. (Nifty 50 is looking bullish in the near term, refer to my previous chart)
Conclusion
Wait for RIL to give BO from the price channel to initiate a short position.
Comment
⋅ I think 1750 is testable if Nifty 50 stays +ive. But crossing 1750 should be very difficult
Comment
⋅ Exactly closing at 1759.
Comment
⋅ Crucial levels
R1: 1845
R2: 1968