Mumbai, Jan 8 (IANS): India's ongoing rally might get extended, if the market's big bull -- Reliance Industries -- stock started to participate in the up-move, say market watchers.

Experts opined that even as India's market rally has become the envy of the world, nevertheless, RIL stocks underperformed in the last three months.

In the past three months, RIL shares have plunged 13.7 per cent. On October 8, the scrip was at Rs 2,238.9, while on Friday, it closed at Rs 1,933.05.

During the same period, Sensex surged 21.4 per cent.

Notably, with almost 10.66 per cent weightage in benchmark composition, this definitely has become a major factor dampening the rally, analysts said.

However, faster economic recovery is expected to trigger interest in this bluechip, sooner than later.

"Reliance had a good run ahead of other stocks between July and September 2020 based on triggers of placing stakes in its telecom and retail ventures," said Deepak Jasani, Head of Retail Research at HDFC Securities.

"It is now consolidating and waiting for fresh triggers. If Reliance starts to perform, indices can rise even more provided the other index stocks remain flat or keep rising."

Ashis Biswas, Head of Technical Research at CapitalVia Global Research, said: "The underperformance of RIL triggered since its latest quarterly result, that dampened the investor sentiment as the company reported consolidated PAT below Rs 10K crore."

Rusmik Oza, Executive Vice President and Head of Fundamental Research at Kotak Securities, said: "The day it comes back to Rs 1,700 per stock, it will again become a good buy for investors. Reliance is still looking very good from a 3-5 year perspective."

"If Reliance would have held on to its high levels in the past few months, Nifty would have reached 15,000 by now and the Sensex would have been over 50,000 points."

"The performance was expected to be higher since unlocking the economy, when compared to its peers."