Nifty update for 24th October

Nifty tried to cross 5150 levels once again but it failed and ended at 5060 levels. It looks like a directionless market and equity market turnover reveals you that though there were lot of short positions got added on Thursday and Friday retailers who were the major participants in the rally from 4700 - 5150 are not ready to exit their buying positions and it is very evident that it is from an investment point of view. Volumes in nifty futures were good and supported by increase in open interest and increase in volatility along with decrease in cost of carry. The current data shows that this negative bias is not because of profit booking and on every rise fresh shorts are coming up. It held 5030-5040 once more and it would be interesting to watch how long would it hold this range and it shows the range bound market is preparing for something big and it is getting prepared for that. As the old saying in the street tells you 'never short a dull market' and let it break the range of 5030 and if it does that i expect a smaller correction to 4950-4900. There would be some positive surprise in the market as the U S markets held high but there should be some local buy triggers and good cash market volume for nifty to go beyond 5180-5200 levels.One major hope on the upside would be dollar index breaking to lows and it would be a positive sign for the market.