Street Signs: Nifty50 enters overbought zone, Indigo may gain height

Nifty is entering the overbought zone

Going 'long' will be a crowded trade on Dalal Street, and any negative trigger could lead to a sharp correction, experts warn. However, given strong momentum, especially in IT stocks, the downside could be protected in the near term. “With the Nifty50 surging to new all-time highs, the bulls continue to remain in control. Further upside is likely once immediate resistance at 21,492 is cleared. However, caution is needed in the short term as the 14-day RSI at 84.93 is in overbought territory. But the 14-week RSI is at 75.87, implying that it is