Harley, 24, fractured a bone in his neck but is expected to be released from hospital on Thursday or Friday.
His horse, Red Art, suffered fatal injuries in Wednesday's incident.
Paul Struthers, chief executive of the Professional Jockeys' Association (PJA), said on Thursday: "Following further assessment his condition is not as serious as first feared."
But he added: "Martin has
fractured a vertebra in his neck though it's stable and wasn't displaced
so doesn't need an operation but he will be in a collar for six weeks.
"He's also fractured four ribs. Doctors had him walking
about for the first time and his spirits are remarkably upbeat. He will
be allowed home today (Thursday) or tomorrow all being well."
A DVD showing footage of his fall was sent by the PJA to doctors to help in their diagnosis and treatment.
Harley was appointed main jockey to Newmarket-based flat racing trainer Marco Botti in September 2013.
The jockey, from the Republic of Ireland, was the fifth high-profile rider to be taken to hospital in 10 days after four jump jockeys were injured last week.
Jason Maguire is recovering after coming out of an induced coma following a fall at Stratford.
Bryan Cooper, Ruby Walsh and Daryl Jacob are all sidelined with broken bones after being injured at the Cheltenham Festival.
Trainer Jim Culloty says Cheltenham Gold Cup winner Lord Windermere will not run again this season.
Culloty says the horse, who beat On His Own in a photo finish and after a stewards' inquiry, will be aimed at the big race again next year.
He had initially indicated Lord Windermere, who won under Davy Russell, might run at the Punchestown Festival.
But Culloty told At The Races on Thursday: "We'll wrap him up in cotton wool and start working out a campaign for him next season."
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