Reliance Infrastructure Hits Lower Circuit Amid Heavy Selling Pressure

On the trading day, Reliance Infrastructure’s stock price touched an intraday low of ₹170.39, which was also the closing price, representing the maximum permissible daily loss of 5.0%. This decline brought the stock within 3.69% of its 52-week low of ₹164.10, signalling sustained weakness in the share price over recent sessions. The stock has been on a downward trajectory for three consecutive days, cumulatively losing 9.91% in returns during this period.

The total traded volume for the day stood at approximately 10.11 lakh shares, with a turnover of ₹17.66 crore. Notably, the weighted average price of traded shares was closer to the day’s low, indicating that a significant portion of the trading activity occurred near the lower price band. This pattern reflects persistent selling interest and limited buying support at higher levels.

Reliance Infrastructure’s shares are currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This technical positioning suggests a bearish trend in the short to long term, which may be influencing investor sentiment negatively.

Investor participation appears to be waning, as reflected by the delivery volume of 1.11 lakh shares on 19 Nov 2025, which is down by 49.44% compared to the five-day average delivery volume. This decline in delivery volume suggests that fewer investors are holding shares for the long term, possibly indicating a rise in panic selling or short-term speculative activity.

Liquidity remains adequate for trading, with the stock’s turnover representing about 2% of its five-day average traded value. This level of liquidity supports trade sizes up to approximately ₹0.71 crore without significant market impact, although the current selling pressure has pushed prices sharply lower.

Comparatively, the power sector index recorded a modest gain of 0.36% on the same day, while the Sensex rose by 0.44%. Reliance Infrastructure’s underperformance relative to both benchmarks highlights the stock-specific challenges it is facing amid broader market stability.

Reliance Infrastructure is classified as a small-cap company with a market capitalisation of ₹7,310 crore. The stock’s recent price action and volume trends reflect a cautious market stance, possibly driven by concerns over the company’s near-term prospects within the power sector.

The stock’s price band for the day was set at 5%, which is the maximum permissible limit for price movement in either direction. Reliance Infrastructure’s closing at the lower circuit indicates that the selling pressure was so intense that buyers were unable to absorb the supply at prices above ₹170.39. This unfilled supply and panic selling scenario often signals heightened volatility and uncertainty among investors.

Given the stock’s proximity to its 52-week low and its sustained underperformance relative to sector and market indices, investors may be adopting a cautious approach. The downward momentum is further underscored by the stock trading below all major moving averages, which typically act as resistance levels in a bearish trend.

In summary, Reliance Infrastructure’s stock performance on 20 Nov 2025 reflects a combination of heavy selling pressure, maximum daily loss limits being reached, and a decline in investor confidence. The unfilled supply at lower price levels and reduced delivery volumes suggest that market participants are either exiting positions or refraining from fresh commitments amid uncertain fundamentals.

Market watchers will be closely monitoring the stock’s ability to stabilise above its recent lows and any developments in the company’s operational or financial outlook that could influence investor sentiment going forward.

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