It is been observed that the price action is ranging in a downtrend trending channel where it is forming lower highs and lower lows, indicating down trend. In this scenario, now the price action touching the resistance level of the channel and retracing back due to selling pressure indicates further weakness. Now the price action shall move to 61.8 retracement level of the previous up move leg.
Breaking of 8740 levels shall lead to further down fall.
Nifty breaking 8740 levels, now leading to 8650 levels
Trade closed: target reached:
Target reached successfully. Respected 61.8 retracement levels as the price action bounced back at 8650 levels.
@ShanTrader Yes, I still have bearish view on Nifty until it breaks and close above 8820 levels on daily chart. It may bounce back from current levels but if it breaks 8650 levels then it shall further go down to 8600 to 8560 levels.