Nifty Daily: Nifty finally broke out of the trading range yesterday. The follow-up momentum seems to be missing. Full STO has also reached the overbought territory and if indeed it is a genuine breakout shouldn’t be a problem.
The Fear Factor: The positive crossover is bullish and an affirmation of the sentiment. Ideally, it should move above 15.5 for the rally to continue.
The Trend Momentum: The shorter-term momentum is supporting the rally. ADX(14) should also move above the 20 levels to confirm the breakout as valid and alive.
Expansion & Contraction: Bands have started expanding and making way for the rally to continue.