On Monday, June 30, the price of Jio Financial's shares increased during trading, extending its winning streak to five consecutive sessions. The stock owned by Mukesh Ambani has increased by 13% during this time.
The profits come after Jio Financial's numerous businesses received consecutive approvals, enabling it to provide a comprehensive platform for investment solutions.
The Securities and Exchange Board of India (Sebi) last Friday gave Jio BlackRock Broking, a wholly-owned subsidiary of Jio BlackRock Investment Advisers, regulatory approval to start operating as a brokerage firm.
JioBlackRock Investment Advisers, the parent company of the broking entity, is a 50:50 joint venture between US-based BlackRock Inc. and Jio Financial Services.
Investor confidence in the counter has increased with the most recent approval, which comes after the regulator gave the go-ahead for Jio BlackRock Asset Management Pvt Ltd and Jio BlackRock Investment Advisers to start operations.
Recently, Jio Financial Services invested ₹190 crore in its payments bank division. Furthermore, it paid ₹104.54 crore to acquire State Bank of India's whole 17.8% stake in Jio Payments Bank.
Jio Financial share price trend
The price of a Jio Financial share opened at ₹326.90 on the NSE today, which is more than the share's most recent closing price of ₹323.45. After a 2.6% intraday gain, the NBFC stock quickly surged to the day's high of ₹331.90 per share.
With a 14% increase in June, Jio Financial's stock has had an incredible month. The most recent rally comes after increases of 9.5% in March, 14.5% in April, and 10% in May.
The stock is up 11% so far this year.
Jio Financial shares: Technical outlook
The next major swing high, 347, is a significant resistance zone that Jio Finance is currently approaching after breaking through its weekly swing high of 310, according to Anshul Jain, Head of Research at Lakshmishree Investments.
The price momentum and volume action of the stock indicate that this level may be easily tested in the near future. It appears unlikely that there will be a significant crossover and sustain above 347 before a new base forms. Prior to re-entering for the next leg higher, momentum traders should wait for a healthier structure to form and use this resistance zone to book profits on current longs, Jain suggested.
Disclaimer: The sole purpose of this story is education. The opinions and suggestions expressed above are not those of Mint; rather, they are those of specific analysts or broking firms. Before making any investment decisions, we encourage investors to consult with qualified professionals.
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