The Reliance Industries stock hit a 3-1/2 month high and technicals suggest further upside for it.
The country’s biggest listed firm by market value, Reliance Industries gained as much as 2.96 per cent to Rs 1,219.4 in the morning session, its highest since October 3.
The stock broke above a resistance at Rs 1,191.4, the 38.2 per cent Fibonacci projection level of the uptrend from February 6, 2018 low to August 29, 2018 high.
The breakout suggests the stock may rise up to the next resistance at Rs 1,245.45, the 50 per cent projection level.
The breakout is supported by volume as the five-day average volume is about 35 per cent higher than the 30-day average.
The stock's 20-day exponential moving average (EMA) had cut above its 50-day EMA on Friday, which is seen as a bullish sign.
The MACD is positive and above its signal line. The stock has risen 28.78 per cent in the last one year as of Friday's close, compared with the broader NSE Index's 0.83 pct gains in the same period.
At 11.45 am the stock was trading firm at Rs 1,223.50, up Rs 40.55 (+3.43%) on the BSE.