RCap, RInfra: What do technical charts indicate for ADAG stocks

Reliance Capital's key level is Rs 115, Reliance Infra seems breaking consolidation and Reliance Communications (RCom) needs a reversal to regain the interest, as per the technical charts.

Shares of Anil Dhirubhai Ambani Group (ADAG) companies  took a beating on Tuesday after two rating agencies CARE and ICRA downgraded Reliance Commercial Finance and Reliance Home Finance last week, citing liquidity concerns. ICRA also downgraded commercial paper issued by Reliance Capital.

Here's how the group's key stocks look on technical charts. 

Reliance Capital Ltd (RELCAPITAL):  The stock is trading below its 200-day moving average (DMA) from last six months. The trend is down, as every rise is witnessing selling pressure. it  has, indeed, made several attempts to reverse, but failed as significant supports did not hold the rising move. The chart formation as per weekly scale clearly denotes breakdown of Head and Shoulder. At the current juncture, it needs to scale above Rs 170 to change the sentiment; otherwise it may head towards deeper levels. A continuous trade below Rs 115 may trigger more downside.  CLICK HERE FOR DETAILED CHART VIEW
 

Reliance Infrastructure Ltd (RELINFRA): The sharp decline from Rs 270 to Rs 97 in February, 2019 has dampened the stock trend. Above all, the inability to recover the decline affected the sentiment to a greater extent. The consolidation occurring in the range of Rs 120 to Rs 140 seems to break down on the lower side as the stock's trend is towards Rs 100 level. To be on the safer side, it is better to stay sideline till it gives a confirm breakout. CLICK HERE FOR DETAILED CHART VIEW

Reliance Naval and Engineering Ltd (RNAVAL): It has corrected over 50 per cent in the last one year. What lacks in this stock is a weaker follow-up buying. It did show reversal; however failed to hold the rising momentum as volumes fall short. The immediate resistance comes at Rs 11, only above which the negative sentiment may change. On the downside, if it breaches recent low of Rs 7.45 then it may see downside below Rs 5.  CLICK HERE FOR DETAILED CHART VIEW

Reliance Communications Ltd (RCOM): The stock has witnesssed lower circuits in recent sessions which is  a negative trend, highlighting a sign of cautiousness. It has depreciated sharply in the last three years entering a single digit price. It needs to show some reversal and revival, which in turn, could gain investors interest. A consolidation may help the stock to stabilize the falling price. The immediate resistance is Rs 4. CLICK HERE FOR DETAILED CHART VIEW

Reliance Home Finance Ltd (RHFL): It is trading near its lifetime low of Rs 22.40. If the same is broken then more downside is expected. However, if it manages to hold on to current levels then it may see a revival towards Rs 32 levels. The overall trend is negative and may change to bearish if scrip breaches significant levels. CLICK HERE FOR DETAILED CHART VIEW