Profit Booking suggested at every rise in Nifty/Sensex- For Short Term Traders

RBI surprised everyone by throwing in rate cuts SLR by 1%, CRR by 1% and Repo Rate by 0.5% over the weekend.

Inflation numbers are now improving on a weekly basis from at11.07% to 10.68%. One should not be surprised to see a single digit inflation numbers within November itself. Thanks to the cooling off of the various commodities and the crude prices.
Ealrier, last week FED reduced its interest rates from 1.5% to 1%. Indian Stock Market gave a big Thumbs Up to all the positive news across the globe of rate cuts and inflation control in India.
Q2 September results are showing weakness and are being declared with a cautious future guidance. Goverment has accepted the fact that the growth will be slow and earlier projections of 9% GDP growth are just dreams now. Pink slips could be issued all across the industries is being predicted by the Assocham. However, goverment has now gagged the Assocham :-)
After a long time we have finished a week positively (substancially). Nifty closed @ 2885 gaining 301 points or 11.67% and Sensex closed @ 9788 gaining 1087 points or 12.49%. Remember last week was only 3 day trading session and an hour of Muharat Trading on the auspicious occassion of Deepawali. FII's were still the net sellers worth 2085 Cr and Mutual Funds House ended up buying 1145 Cr.

Crude Oil is now around $65 per barrel.

US $ to Rs is now around 49.30

So is the worst in the Indian Stock Market over and have we bottomed out?

No this is just an interim rally for the excessive selling that has happened in the deadly month of October. Due to RBI steps, one can see another 5-10% rally from here. But there is no way that the market has bottomed out. I believe that there is still more pain left in the Indian share market.