Reliance Industries has support at Rs 2100-2200 Manghnani 2008-02-08

Anil Manghnani of Modern Shares & Stock Brokers is of the view that Reliance Industries has support at Rs 2100-2200.Manghnani told CNBC-TV18, "Reliance is still the leader. Technically the charts haven’t broken down. Reliance Industries has support at Rs 2100-2200.Reliance pack especially with banking stocks like SBI, PNB, Bank of India, ICICI, and HDFC look really strong on the charts. One could look at it two ways, the bears would probably say the good stocks are starting to get hammered and we are really getting down to a bear phase. But the bulls would say that we are probably towards the end of the downside because normally at the end even the strong stocks start getting beaten down, people are forcefully taking profits to offset their losses, so it’s a toss of a coin." He further added, "If you look at it technically, still very strong, the fall can be bought into. If the market has to bounce back, the leadership has to come from Reliance and the banking pack. So at lower levels, its coming very close to its near term support at Rs 2380 to Rs 2320. It may hold that even if there is a major break below that, the recent lows of Rs 2100 or Rs 2200 should hold as a good support for Reliance."

Disclosure: It is safe to assume that analyst and his clients may have an investment interest in the above stock/sector.Source

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