recv() failed (104: Connection reset by peer) error, gunicorn and nginx and Django

Hi, I am getting the recv() failed (104: Connection reset by peer) while reading response header from upstream, client: 105.178.36.13, server: 188.166.61.158, request: "GET / HTTP/1.1", upstream: "http://127.0.0.1:8000/", host: "188.166.61.158 while connecting to my site via the IP address. The nginx error log is printing the above error msg. I am deploying a Django site using nginx and gunicorn. I followed this tutorial here: [https://www.digitalocean.com/community/tutorials/how-to-set-up-django-with-postgres-nginx-and-gunicorn-on-ubuntu-14-04]

I have tried all possible suggestion on stackoverflow, including increasing the keep alive directive in nginx.conf file, client and header buffer sizes but all seems like non is working.

The interesting thing is that when I run gunicorn in the command line it starts and I connect to the site successfully but when I try to run it from the upstart script, I get the above error. I am out of ideas how to fix this.

any directions are highly welcome.