Bank Nifty - Traders are advised to book profits in all long positions - Angel Broking

Yesterday, Bank Nifty too opened on a flat note in-line with the benchmark indices. The Bank Nifty has played a vital role in the up move seen in our market over the past 5 - 6 trading sessions. As expected, the index continued to show its dominance and rallied towards the mentioned target of 12515.

We are now observing that the momentum oscillators in hourly and daily chart have entered an extreme overbought territory. Hence, the possibility of sideways movement or correction cannot be ruled out. On the upside, index may face resistance around the 12638 mark whereas yesterday's low of 12317 would act as a key support in coming trading session.

Traders are advised to book profits in all long positions and remain on the sidelines. Buying at current levels is not justified as the risk reward ratio is not favorable.

Source : Equity Bulls

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