Nifty opened on a positive note but after making a high of 8698, it could not sustain on higher levels and witnessed some profit booking, it made a low of 8636 in intraday trade and finally ended at 8659 with a loss of 0.22%. The Advance Decline ratio was almost 4:3.
Nifty has already corrected 61.80% of its recent fall from 8806 to 8506. It is still making lower tops and lower bottoms on the daily chart, thus one should be cautious on higher levels. We maintain bearish view on Nifty with our short term target of 8270, which is its 200DEMA, below 8270 it can even test 8150 which is 38.20% retracement level of its entire rally from 6825 to 8968. On the upside the range of 8750 to 8800 remains a strong resistance for short term.