Stocks display a positive trend: Nifty at 24,650, Sensex sees a rise of 250 points; Federal Banks experiences a descent of 5.5%
The Indian stock market opened on a mixed note on August 4, 2025. The NSE Nifty 50 opened 35 points higher at 24,600, while the BSE Sensex ended slightly lower, reflecting a market under pressure.
According to short-term technical market outlook, both the Nifty 50 and Sensex are showing a cautious to bearish bias, with a tendency towards sideways movement and possible volatility. The Nifty 50 faces resistance near 24,800–25,000, and immediate support is around 24,400–24,180. A break in support could trigger sharper declines towards 24,250 or lower. The Sensex also declined modestly, with selling pressure partly due to foreign portfolio investors turning net sellers.
The Nifty 50 closed near 24,574 on August 7, with a drop of about 75 points (0.31%) on August 6. Key support levels are at around 24,537 and further near 24,400–24,180. Resistance is seen at 24,800–24,850 and the psychological barrier at 25,000, where recent price attempts were rejected. Market sentiment remains negative or sideways, with volatility expected until RBI policy clarity emerges.
In the morning trade, Bharat Electronics, Grasim Industries, Shriram Finance, Tata Steel, and Jio Financial Services are the top gainers among the Nifty 50, while Reliance Industries, ITC, HDFC Bank, Mahindra & Mahindra, and Bharat Electronics are the major movers under pressure. JSW Energy is on the radar due to a 37% upside call by Axis Securities.
The Bank Nifty opened 100 points or 0.18% higher at 55,716. Shrikant Chouhan suggested that a move above 24,650 could change sentiment, and a potential downside may continue, potentially dragging the index down to 24,200-24,150. The Nifty Midcap fell 17 points to 56,620.
Lingering concerns over India's unresolved trade pact with the US administration, persistent selling by foreign investors, and mixed Q1 earnings continue to weigh on sentiment. Prashanth Tapse, Senior Vice President of Research at Mehta Equities, stated that the deteriorating Nifty's technical landscape with lower high/low on daily charts suggests Nifty's downside risk at its 200 DMA at 24,050 mark.
Shrikant Chouhan, Head Equity Research at Kotak Securities, stated that the market is holding a lower top formation and is trading below the 50-day and 20-day Simple Moving Averages (SMA). Infosys, Tech Mahindra, Zoamto (Eternal), HCL Technologies, and Coal India are the key laggards in the Nifty 50 pack. The BSE Sensex opened 69 points higher at 80,669.
- Despite the mixed opening on August 4, 2025, personal-finance advisors recommend caution in defi investing, considering the bearish bias shown by both Nifty 50 and Sensex.
- The portfolio of an individual focusing on business sector stocks may witness a significant change aspharmaceutical and technology stocks are among the top movers, with Jio Financial Services and Axis Securities highlighting JSW Energy as a potential opportunity.
- The ongoing trade tensions between India and the US, combined with foreign investors' selling pressure, are significant factors impacting the stock market, leading to a negative market sentiment.
- Traders following short-term technical market outlook should keep a close eye on the Nifty 50 and Sensex, with resistance near 24,800-25,000 and immediate support around 24,400-24,180, potentially leading to further volatility in the market.
- As the RBI policy unfolds, the market is expected to witness a shift in sentiment, reducing volatility and providing opportunities for investing in specific stocks among the Nifty 50 pack, such as Infosys, Tech Mahindra, Zomato, HCL Technologies, and Coal India.
- The integration of technology in personal-finance management and trading platforms can empower investors to make informed decisions, enabling them to adapt to the market conditions and make profitable investments.
