Reliance Chart Analysis, Post AGM.

Time Frame : Daily

-Negative divergence formation since past few days had already been sighting weak momentum

-Prices were waiting for a trigger point (today's AGM) to correct downwards

-RSI had been under stiff resistance

-MFI had slowly started to come down which indicated increasing weakness

-Prices currently touching trendline

Time Frame : 1Hr

-Similar charts as compared to Daily time frame

-The only point to focus here was continuous formation of lower peaks on MFI which indicated price weakness

Time Frame : 15mins

-Short trade could be timed based on this chart

-With negative divergence forming, a break below the trend line could have initiated a short trade

-This could have timed with RSI & MFI moving below their trendlines

Time Frame : 5mins

This is an interesting chart

-Prices made an intra-day high of 1978 sighting strong up move, then corrected down a bit

-It again started moving up sucking in the intra-day traders to go long

-People anticipated good news from the AGM which they thought would push price above 2000

-Right when the AGM (2:00pm), day's high acted as a resistance

-Good news flowed in, people got more confident

-15 minutes into the AGM, price moved down with sharp increase in volume

-Reason being : Market had already discounted the good news

-The sharp down movement triggered intra-day player's stop loss and sell orders executed all at once

-This resulted in panic selling & long spikes.

A classic example of "Buy on Rumor, Sell on News."

I hope this article will be able to give you clarity about today's down movement.