The overall stock market may be going down, and many
investors feel worried during such times. But companies like Reliance
Industries Limited (RIL) often behave differently. Experienced traders know
that big companies use falling markets to prepare for their next big move
upward.
With strong recent results and big future plans, Reliance
looks stronger than ever. This correction phase may actually be a good
opportunity to invest.
Here
is the specific news and financial data that could act as catalysts to drive
the stock price upward:
1. Strong Performance
In January 2026, Reliance announced its Q3 results, surprising many people. Despite global challenges, the company made a net
profit of ₹18,645 crore.
- Jio Growth: Jio
now has more than 250 million 5G users. It is not just adding customers
anymore—it is now earning more from each user.
-
Reliance Retail has around 20,000 stores. This strong combination of
physical stores and digital platforms gives it a big advantage over
competitors.
2. Big Shift
Reliance is gradually shifting from an oil-based business to
clean energy.
On January 12, 2026, the company confirmed that its 40GWh battery factory in Jamnagar will be ready in 2026.
This is not just about the environment—it is a smart business
move. Reliance wants to enter the fast-growing global energy storage market.
This shift can change its image from an oil company to a future-focused technology company.
3. Expanding Globally
Reliance is also growing outside India.
In February 2026, it partnered with Nigeria’s TGI Group
to enter the African market. Through this, Reliance plans to sell FMCG products and other Indian brands globally.
This will help the company earn from international
markets and reduce dependence on India alone.
4. ₹10 Lakh Crore Investment
in Technology
Reliance announced a massive investment of ₹10 lakh crore
over the next 7 years. This money will be used for artificial intelligence (AI)
and digital infrastructure.
The goal is to make all its businesses—from oil to
retail—more automated, efficient, and high-profit.
Elliott Wave View: (Technical Analysis)
The market is falling, and fear is everywhere. But
in Elliott Wave theory, not every fall is bearish. Sometimes, a falling phase
is just a correction before the next big rally.
 |
| Figure 1 |
The long-term chart of
Reliance Industries clearly shows a complete impulsive structure forming step
by step, rather than random price movement. When we read the chart through
Elliott Wave, the current phase starts making much more sense.
From what is visible in the chart, it appears that
the fifth wave has already been completed. However, it is not enough to assume
this—we need to prove that it has actually formed. Based on my analysis, it
seems that an ending diagonal has developed here. Therefore, in the next chart,
we will see how this ending diagonal has formed and where it has ended.
 |
| Figure 2 |
Now observe that by drawing two trend lines here,
the fifth wave can be identified as an ending diagonal. However, it can
also be seen that the (E) leg is not yet fully formed.
Therefore, the structure is still incomplete, and
we can analyse it in two ways. First, as you know, each leg is typically
composed of three waves. So, I will count the waves in two different ways to
determine the probable direction of the next movement.
 |
| Figure 3 |
Now observe that in this E wave, i.e., the E wave of the ending diagonal, the structure is composed of three waves. Here, it can be seen that the A wave (red line) has already been completed, and the B wave is also complete.
The next phase will be the formation of the C wave, which suggests that the stock is likely to move upward. To confirm whether the B wave is complete, look at the internal structure—three sub-waves (a, b, and c) marked in violet line are clearly visible. This indicates that the B wave is composed of three waves and can be considered complete. Therefore, before the completion of the C wave, the stock is likely to show an upward movement, forming the final leg of the E wave. |
 Figure 4 If we analyse this (E) wave using the Fibonacci Extension tool, it appears that the target of the red (c) wave within this (E) wave may lie between 100% and 161.8%. In other words, it could end anywhere between the 1725 and 1994 levels. The reason for giving this range is that, so far, there is no clear confirmation that the C wave has started. Therefore, it is not possible to specify an exact target at this stage. This is generally how the probable target of a C wave is determined.  Figure 5 When analysed from an alternative perspective, the (E) wave is seen to consist of three sub-waves—(a), (b), and (c). Among these, sub-wave (a) is impulsive in nature, as it is composed of five smaller waves, as shown in the chart. Furthermore, when the movement from wave (0) to (3) is measured using the Fibonacci Extension tool, it becomes evident that the fifth wave of this impulsive structure terminates precisely at the 61.8% level.  Figure 5a Now, when I analyse the (b)
sub-wave within the (E) wave using the Fibonacci retracement tool, it appears that
the (b) wave has retraced approximately 61.8% of the (a) wave. Therefore, it can be
assumed that both the (a) and (b) waves within the (E) wave are complete. The next
phase is likely the formation of the C wave in the upward direction, and its
target will be determined based on the movement of the upcoming (c) wave. |
Now observe that within
the (E) wave, the structure consists of three waves. The (a) wave is an
impulsive wave, and the (b) wave has retraced approximately 61.8% of the (a) wave.
Therefore, the (c) wave must
move upward and form a five-wave structure. Since this structure is appearing
as a zigzag pattern, its potential target may lie between 100% and 161.8%. In
other words, it could end anywhere between the 1781 and 2084
levels.
However, the exact target of wave (c), i.e., wave (E), will depend on how its internal five-wave structure unfolds. The precise target can only be determined once the third sub-wave has begun to develop.
Once the (E) wave is
completed, the entire five-wave impulsive cycle will naturally be completed.
After that, a downside movement is expected, which may form a deep retracement
or a corrective wave.
Disclaimer:
I am not a SEBI-registered financial advisor. The analysis and views shared
here are purely for educational and informational purposes and should not be
considered as financial advice or investment recommendations. Trading and
investing in the stock market carry a high level of risk, and past performance
is not indicative of future results. Readers are strongly encouraged to consult
with a certified financial advisor or SEBI-registered professional before
making any financial decisions. I am not responsible for any losses incurred
based on the information provided.