Roger Federer showed flashes of his best but Novak Djokovic exposed the Swiss maestro's fading powers with a three-set victory at the ATP World Tour Finals on Tuesday.
Nadal, who got a first-round bye, defeated Richard Gasquet 6-3, 6-4 to advance.
A day after celebrating his 36th birthday, Federer played the aggressive game that has propelled him to five titles, including two grand slams, this year, attacking the net and rocketing second serves.
World number one Novak Djokovic and number two Andy Murray crashed out of the Western and Southern Open within an hour of each other on Friday, before Rafa Nadal restored order with a win over old rival Roger Federer.
Australia's Davis Cup captain Pat Rafter has enjoyed smiting foes in the senior's tour since his retirement, but fears he may have bitten off more than he can chew by agreeing to partner Lleyton Hewitt in the Australian Open doubles.
India's Leander Paes and his German partner Alexander Zverev went down to the Spanish duo of Feliciano Lopez and Marc Lopez in a men's doubles first round match to bow out of the Cincinnati Open.
Summary of sports events and persons who made news on Tuesday
An air of calm descended at Wimbledon on 'Tranquil Thursday' as Novak Djokovic and Serena Williams avoided the trail of destruction that had decimated the field at the All England Club on day three of the grasscourt major.
The recall of a crushing loss might not have the same attraction as the memory of an inspired victory for most top tennis players, but World No 8 Stanislas Wawrinka wears failure as a badge of honour stamped permanently on his arm.
IMAGES from Day 3 of the US Open in New York on Wednesday.
IMAGES from matches played on Day 7 of the French Open at the Roland Garros in Paris on Saturday