Indian stock market indices, the Nifty 50 and the Sensex, are expected to start on a muted note on August 8, 2025, mirroring mixed cues from global markets.
Global Market Indicators
- Gift Nifty: Suggests a weak start for the Indian benchmark index, trading around 24,647, a discount of nearly 26 points from the Nifty futures' previous close. However, another source indicated that Gift Nifty is trading 0.66% higher at 24,699, signaling a likely firm opening for Indian markets.
- European Markets: Ended higher in the previous session, with the DAX gaining 1.41% and STOXX 50 up 1.36%.
- US Markets: Direction remains uncertain as trading is yet to begin.
Market Performance on August 7, 2025
On Thursday, August 7, the domestic equity market indices closed marginally higher due to fag-end buying, with the Nifty 50 closing above the 24,500 level.
- The Sensex gained 79.27 points, or 0.10%, to close at 80,623.26.
- The Nifty 50 settled 21.95 points, or 0.09%, higher at 24,596.15. The index rebounded from a low of 24,344.15 during the day.
- Bank Nifty closed at 55,521.15, up 0.20% from its previous close, after touching a low of 54,973.55 during the day.
Key Levels to Watch
- Sensex: Support near 79,800 with a potential upside to 81,000 and 81,350. A decline below 80,300 could lead to retesting 79,800-79,650 levels.
- Nifty 50: Immediate support at 24,800, with long-term support at 24,100. Facing strong resistance around 25,000. A decisive move above 24,800 could lead to a rebound towards 25,000.
- Bank Nifty: Key support between 55,200 and 54,900, with resistance at 56,300–56,500 levels. A potential rise towards 56,000-56,500 is expected.
Market Influencers
- FII/DII Activity: On August 6, FIIs offloaded ₹4,999 crore, continuing a trend of persistent selling. DIIs stepped in with ₹6,794 crore in purchases, which could weigh on market momentum if foreign outflows persist. FIIs have been net sellers for 14 straight sessions.
- US Tariffs: Investor sentiment remains fragile following the U.S. imposing a 50% tariff on Indian goods.
- RBI Monetary Policy: The Reserve Bank of India's bi-monthly policy review is expected, with the decision announced on August 8. Speculation of a 25 basis point rate cut could trigger a rally in rate-sensitive sectors.
- Global Factors: Developments surrounding US-Russia peace talks and India's response to US tariffs are being tracked.
Expert Opinions
- Shrikant Chouhan of Kotak Securities advises level-based trading due to current market volatility.
- Nimesh Thakar notes the market's strong recovery from lower levels and suggests that breaking above 24,625 could increase the likelihood of short covering.
- Aditya Agarwal of invest4Edu anticipates a range-bound market and expects 24,600 to act as a key resistance level. He foresees a potential recovery of 200-400 points if the market sustains above this level, possibly reaching 24,825. He also expects a short-covering rally in Bank Nifty, potentially rising to 56,000-56,500.
Stocks to Watch
Several companies are set to announce their quarterly results, including State Bank of India, Tata Motors, Info Edge India, Voltas, Grasim Industries, DOMS Industries, Lemon Tree Hotels, and JK Tyre and Industries. Stocks to watch also include Reliance Industries, TCS, Kalyan Jewellers, and Godrej Consumer Products.
Additional Factors
- US Tariff Impact: The U.S. has imposed a 50% tariff on Indian imports due to concerns over India's continued purchase of Russian crude oil.
- Time-Based Analysis: August 8 and 11 are key dates for upcoming market direction. August 6 and 7 are expected to be highly volatile for intraday moves.
- Volatility: Increased volatility is expected around specific time slots on August 8: 9:20 AM, 10:20 AM, 11:25 AM, and 1:25 PM.
