Nifty may see small reaction toward 5630-5600: Mohit Gaba

The Nifty opened gap up and traded higher for the first half of the day, however some time mid day it could not sustain at higher levels and started to traded lower. So far technically the trend is still up.

Given the Nifty has run up so fast in the last few weeks, the momentum indicators stretched on the up side and relative week rollover on the Nifty and Bank Nifty for the October futures series, there could be a small reaction toward 5630-5600 zones. I have gone short on the Nifty towards the end of Friday’s session with a stop loss above the day’s high of 5740 levels.