Anu Jain of IIFL Private Wealth Management told CNBC-TV18, "The fact still remains that the chart of Reliance Industries has come out of a monthly pattern, of a weekly pattern and it looks like it is going to sustain. It is again consolidating after having been around the area of Rs 1000. The stock was having a major resistance around this level. The logical targets for this move would be anywhere between Rs 1070-1090. I think a stop loss would be about Rs 985. If it breaks that, the momentum would kind of go away."
"It is worthwhile noting that in this round of Nifty move if one was surprised or if I see some kind of surprise in people it is because the oil & gas sector whether you look at Bharat Petroleum Corporation, Hindustan Petroleum Corporation, Indian Oil Corporation, GSPL or Reliance, these are the stocks who have actually moved this time in a substantial way. They are at 52-week highs which is basically driving the Nifty in a big way," she said.
"Banking is not at very good highs, it is still about to catch momentum or if you see other sectors like IT from the top, they have all corrected. This is one space which looks to be the sector which is going to kind of still stay in momentum. So, I think a strategy in this sector to be positive on any dip would probably pay off pretty well both as investment and trading."
Disclosure: Reliance Industries has acquired management control of Network18, which owns TV18 Broadcast and moneycontrol.com.
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