As indicated in my last post on 29 Apr 2012, Nifty is inching towards 5300. If you recall, I had advocated a Sell at 5300 level in my last post. So be ready to execute your trade at 5300 Nifty spot. And when you sell Nifty May contract you should look to sell at 5330 with a stop loss at 5380. When you sell Nifty May Futures at 5330 you can expect to gain 400 points from the expected fall in Nifty.
If we look at Dow Jones for indications, we find that there is a likelihood of Dow falling to 12200 level from its current level of 13200. That is an expected fall of about 1000 points from current levels. This fall will most probably happen in five steps, when Dow will execute a Flat correction. When Dow falls 1000 points from current level, then there will be some panic reaction even in Indian markets and we can expect Nifty to fall.
Nifty on its own is also on the verge of completing its correction from 5300 level, as discussed in my last post of 29 Apr 2012. Remember by falling from 5300 level Nifty will be completing wave C of its correction. So go ahead and sell Nifty May Futures at 5330 with stop loss at 5380 for a gain of 400 points, when markets reopen for trade. Most probably this expected fall in Nifty will also happen in five steps