Nifty detailed analysis 20180617

For those fundamental analysts Nifty is very much in overbought zone and no one should be comfortable now taking any new long position.

On daily charts, we are right at short term resistance and its very important for markets to have full candle above 10,930 to be able to continue bull move. But it will face another strong resistance between 11,070 and 11,170. Support is directly at 10,000 levels. This provides a very good 200 point risk to 800 point potential reward scenario. (r:R of 1:4)

However options data does not suggest the same with June RCR at 1.2 and Jul PCR at 1.8

 

 

 

 

 

 

Looking at this conflicting scenario, It looks to be going to be a sideways market. More longs can be added above 11,170.