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Miller's stoppage time spot kick in front of a full house at Portman Road earn't Ipswich a point that their performance scarcely warranted.
"It was a fantastic point for us but I don't kid myself that it was a good performance, " said Royle, following the match.
"Reading are a good side who defended the edge of the penalty area leaving no space behind."
Despite the decent result, Royle must now ask for more from his side who are amongst the favourites for promotion.
"It was a very tight game. We have improvement to make and a bit of balance to find. Reading are a good side who defended the edge of the penalty area leaving no space behind," he added.
Yesterday's game swung on two debatable refereeing decisions which left a cursing Alan Pardew, manager of Reading, with a swollen foot after kicking the wall with frustration.
First Nicky Shorey was dismissed for denying what the referee deemed to be a clear goalscoring opportunity and then Jim Magilton went down in the box to earn a ninetieth minute penalty.
Magilton fell to the floor in animated fashion, with more than a hint of a dive, yet the Mr Curson, the man in the middle, pointed to the spot. TV replays backed up the notion that he got it wrong.
Sympathising with Pardew slightly, Royle admitted: "For the penalty Jim Magilton told me there had been contact but it was minimal. I thought at the time it was a penalty. I honestly did.
"If I was Alan Pardew I'd be very disappointed."
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