As seen 7900- 8000 has acted as an important support and resistance levels for Nifty in the past. 7900 is also an important Fibonacci support. Yesterday, it formed an inside bar which can act as a reversal signal, and a bounce can be expected.
On the downside if we see, Nifty has formed a rounding top pattern in daily charts. A breakdown below 7900 levels on closing basis and sustaining below it for a couple of sessions can see a further fall of 800-1000 points in the days to come.