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ICICI Bank - Overbought already

Long
NSE:ICICIBANK   ICICI BANK
ICICI bank has posted impressive Q3Y20 results last week. However, market seems to have already factored optimism in the price. Because, price has not reacted to quarterly results. Overall, ICICI bank on a monthly price movement read along with RSI appears in an overbought zone. Monthly RSI is 78 ~ 80. Interestingly, price has posted 52 weeks high well before the announcement of Q3Y20. Since then, the price has failed to post higher high or breach 52 weeks high. This means, 52 weeks high had fair amount of Q3Y20 results and consequent re-estimation of FY20 & FY 21 factored. One should buy ICICI on dips but only when dilutes its overbought status.

A good price band to buy is 510 ~ 524

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