Indian stock market investors are likely to see a flat opening on July 18, 2025, as indicated by Gift Nifty trends.
Global Market Cues
- Mixed Global Signals: Global markets are offering mixed signals. While European indices show firmness, U.S. futures indicate limited movement, reflecting a cautious global sentiment.
- Asia Markets: Asian markets traded mixed following overnight gains on Wall Street. Japan's Nikkei 225 edged up 0.03%, while the Topix remained flat. South Korea's Kospi fell 0.14%, and the Kosdaq gained 0.17%. Hong Kong's Hang Seng index futures signaled a stronger opening.
- Wall Street: The S&P 500 and Nasdaq closed at record highs, driven by strong economic data and earnings reports. The Dow Jones Industrial Average rallied 229.71 points, or 0.52%, to 44,484.49, and the S&P 500 gained 33.66 points, or 0.54%, to 6,297.36.
** domestic Market Performance**
- Previous Day's Close: On July 17, 2025, the Indian equity market indices ended lower, with the Nifty 50 closing below the 25,200 level. The Sensex dropped 375.24 points, or 0.45%, to close at 82,259.24, while the Nifty 50 settled 100.60 points, or 0.40%, lower at 25,111.45.
- Market Sentiment: Investor caution grew amid uncertainty surrounding the future of US Federal Reserve Chair Jerome Powell. Weak Q1 earnings, stretched valuations, and foreign capital outflow are keeping market sentiment fragile.
- FII and DII Activity: FIIs have offloaded over ₹13,600 crore so far in July, while DIIs have remained strong buyers, pumping in ₹16,969 crore, helping cushion domestic markets from deeper corrections.
Nifty and Sensex Predictions
- Gift Nifty: The Gift Nifty was trading around 25,189, a premium of nearly 15 points from the Nifty futures' previous close, suggesting a flattish start for the Indian benchmark index.
- Sensex Prediction: As long as the Sensex trades below 82,500, weak sentiment is likely to continue. Immediate support lies at the 50-day SMA (Simple Moving Average) at 82,000, and below that, chances of hitting 81,600 - 81,500 would increase. A break above 82,500 could lead to retesting 82,800, and a successful breakout above 82,800 could push the Sensex up to 83,000 - 83,300.
- Nifty 50 Prediction: The highest Call Open Interest (OI) for Nifty 50 is at the 25,200 strike, followed by 25,300, indicating potential resistance at higher levels. On the Put side, the highest OI is placed at 25,100, followed by 25,000, suggesting immediate support zones. The 25,000 – 25,300 range is a crucial zone for Nifty's near-term directional move. As per Shrikant Chouhan, as long as the market is trading below 25,200, the weak sentiment is likely to continue. On the downside, the 50-day SMA (simple moving average) at 25,000 would be the immediate support level. Below 25,000, the chances of hitting 24,900-24,850 would increase. On the upside, a break above 25,200 could lead the market to retest the levels of 25,280.
Trading Strategies and Outlook
- Consolidation with a Positive Bias: Analysts expect the market to consolidate with a positive bias, supported by improving trends in rural demand and healthcare, as well as potential progress in India–US trade talks.
- Stock-Specific Action: Stock-specific action will likely continue as the earnings season gathers pace.
- Focus on Stock Selection and Risk Management: Align positions accordingly, with a focus on stock selection and risk management, as the current market tone is likely to persist.
- Nifty Support and Resistance: Resistance is expected between 25,250 and 25,650, while support is seen between 25,000 and 24,400.
- Bank Nifty Prediction: BANKNIFTY can go up if it goes above 57,200 or down after the level of 56,900, but it also depends upon the Global cues. Resistance is expected between 57,200 and 57,600, while support is seen between 56,900 and 56,400.
- Broader Trend: The broader trend remains positive, and the current consolidation should be viewed as buying opportunities.