Nifty Daily Charts shows the trendline got broke in the 12 day fall we have seen but it again got up the trendline within 3 weeks so it can not be considered as violation in trendline and on going correction in the bull market.
Now whats next we are facing resistance at 5030 levels continuously in past 3 trading sessions.So that comes out to be resistance and can be considered stop loss for the shorts.
Momentum is fading in past couple of trading sessions. Now longs should protect there profits with a stop loss around 4940 levels.As nifty has closed above all its averages so it would be advisable not to short nifty now.Wait for some sign of weakness than short.
Levels which needs to be watched out
Weekly Support:4939 4875 4853 4708
Weekly Resistance:5030 5081 5164