The Nifty call: Go short with stop- loss at 8,480

Nifty July Futures (8,460)

The Nifty futures contract is on a corrective fall after surging over a per cent on Monday. The contract has an immediate resistance at 8,470 and then a key resistance at 8,500. Only a strong break above 8,500 will create the momentum for further rise. As long as the contract trades below these hurdles a fall to 8,425 looks likely. A break below the immediate support at 8,440 can drag the contract lower.

Traders with a short-term perspective can go short. Stop-loss can be kept at 8,480 for the target of 8,430.

Strong support is seen in the 8,425-8,400 zone which can halt the corrective fall. There is a strong likelihood of the contract reversing higher once again from this support zone.

Strategy: Go short with a stop-loss at 8,480

Supports: 8,440, 8,425

Resistances: 8,470, 8,500