Understanding Fibonacci levels on Nifty

After the massive rise on Friday, the Nifty has turned positive on all Indicators.

• 
  

Nifty closed above 11200 which is a major trend reversal level, 11218 - 11190 range can be considered as a first confirmation of weakness (maybe leveraged longs can be squared off once this level is taken off, on the down side.
Based on Fib levels 11117 can be the considered as another level of support for the bulls, fresh longs can be created once Nifty tries to attempts a recovery around this.
11035 will confirm weakness, and only short trades can be taken below this level.

On the upside, Friday's high i.e. 11381 is the first hurdle, crossing this will confirm further momentum on the up side.
Closing above 11200 for two more sessions will strengthen the bulls and open doors towards 11500-11600 llevels.

Beyond technical analysis, it is possible for the Nifty to breach 11500 within next 2-3 trading sessions.

But downside protection is always important for all trades.










N