Nifty slips and shaved most of the previous week's gain on the first trading day of the week. The negative global cues and selling pressure at higher levels marked the previous upswing as a probable retest of resistance post breakdown and hence the downward momentum continued.

The big setback and the probable reason for this could be the shaking global markets and cues that we are getting at this point in time. While domestically we have been struggling lately with a credit crunch, higher cost of capital, slowing Auto numbers along with tepid quarterly earnings and FII's exiting; The recent massive fall in Argentine Index of almost 40% in a day, concerns over face-off between JP & SK, Geopolitical concern over HK and CH have added insult to injury. Further, the Asian markets were negative, largely, since morning and this has impacted the broader market as well.

The breadth has been negative since yesterday and any rebound we witnessed last week was seen wiped out as Nifty almost lost all of its previous week's gains.

We believe the bears are here to stay for a while and it won't be easy and quick for the market to recover anytime soon. We remain cautious and maintain our sell on a rising approach.