Nifty registered the highest level of the recent upswing at 11,794, but it nosedived to 11,325 in intraday trade, eventually closing at 11,387.50. Nifty witnessed a fall of 2.23 percent, which is the highest one day fall after May 18, 2020, when Nifty plunged 3.43 percent. The index ended up forming a bearish engulfing candlestick pattern on the daily charts. This pattern indicates the probable trend reversal from bullish to bearish. The short-term trend of Nifty would be considered bearish unless the high of this engulfing candle gets taken out. The technical view is negative unless 11,794 is surpassed. RSI on the daily chart has exited the overbought zone with negative divergence. The money-flow Index has also exited from the overbought zone. Oscillators, too, have turned bearish, indicating the sign of weakness for the short to medium-term.