NIFTY SHORT

4 May 2016

Nifty is retracing from its 61.8 % fibonacci retracement levels , from 8670 ( highs of July 2015 ) to 6825 (lows of feb 2016 ) . Trading below 200 dAY SMA adds to more pain. We saw earlier a runaway gap on 13 /04/16 which after gap filling has turned out to be exhaustion gap. Suggesting end of uptrend and reversal . Next we see is a trendline breakdown increasing the pain for bulls

One should Short Nifty with SL of 7850 , and look for target of 7560 .