Nifty Update for 28th September

Nifty had a decent rally from 4840 levels and ended close to days high 27th September confirmed the bottom of at 4750 (read previous posts). It confirmed the bottom of 4750 and was trading with good volume.Institutional buyers sold around 3000cr and huge amount of cash would be left over with them.All the shorts got covered around 4930 levels and all the activity above 4930 could be seen as buying activity from retail investors. As we could see the total equity market turnover was lesser compared to previous days and the rally was due primarily due to short covering. The interesting point is whether Nifty would be able to cross 5030 - 5060 (upside cap that i mentioned in my previous posts)levels with good volumes. Next important dates would be 3 rd and 4th of October where the market makes its top. It would be interesting to watch whether Nifty would be able to cross 5030-5060 levels or people who have already covered their short positions would come up with fresh shorts. The closing shows all is well for Nifty traders who are bullish and the rally could extend upto 5030 levels.

Another positive factor for Nifty would be Dollar kind of reached close to its high
and is cooling off at 49.50 levels.India VIX has come down by about 10% and bulls really had an upper hand in today's move