Indian stock market indices, the Nifty 50 and the Sensex, are expected to have a flat opening on August 21, 2025, mirroring mixed cues from global markets.
Global Market Cues: Asian markets displayed a mixed performance, influenced by the S&P 500's recent losing streak. Japan's Nikkei 225 index was down by 0.3%, while South Korea's KOSPI index saw an increase of around 1%. On Wednesday, Wall Street exhibited a mixed settlement due to continued sell-offs in technology stocks and varied retail earnings reports. European markets also presented a mixed picture, with the FTSE 100 edging up 0.23% while the DAX slipped 0.25%. In the U.S., the Nasdaq fell 1.06% and the S&P 500 declined 0.38%, reflecting caution in global risk appetite, which may spill over into domestic trade.
GIFT Nifty Trends: The GIFT Nifty futures were trading at 25,082, a slight increase of 2 points, suggesting a flat start for the Indian benchmarks.
Wednesday's Market Performance: On Wednesday, the Indian equity market extended its rally for the fifth consecutive session, with the Nifty 50 closing above the 25,000 level. The Sensex rose 213.45 points, or 0.26%, to close at 81,857.84, while the Nifty 50 settled 69.90 points, or 0.28%, higher at 25,050.55.
Expert Outlook: According to Shrikant Chouhan, Head of Equity Research at Kotak Securities, the Sensex has successfully cleared the 81,500 resistance zone, indicating a further uptrend from the current levels. He identifies 81,500 and 81,300 as key support zones for day traders, suggesting that as long as the Sensex trades above these levels, the bullish sentiment is likely to continue. Chouhan believes the index could potentially move up to 82,300 – 82,500 on the higher side. Conversely, a drop below 81,300 would make the uptrend vulnerable. Mayank Jain, Market Analyst at Share.Market, noted that the next resistance for the Sensex lies between 82,600 and 82,800, and a strong move above this could lead to further upside. Support is between 81,500 and 81,300, and a break here could trigger short-term volatility.
Derivatives Data: On the derivatives front, the highest Call Open Interest (OI) for Nifty stands at the 25,100 strike, followed by the 25,200 strike, indicating these levels could act as key resistance zones. The highest Put OI is placed at the 25,000 strike, which will act as a crucial support level.
Market Dynamics: Foreign Institutional Investors (FIIs) continued their cautious stance, selling ₹634.3 crore on August 19, while Domestic Institutional Investors (DIIs) provided robust support with net buying of ₹2,261.1 crore. Persistent domestic inflows may cushion the impact of foreign outflows, hinting at limited downside for Indian markets.
Key Levels to Watch: For the Nifty-50 index, experts suggest that the 25,000 and 24,930 levels will act as key support zones. As long as the market remains above these levels, the bullish sentiment is expected to continue, potentially pushing the index towards 25,150–25,200. Resistance is expected around 25,100 levels. Immediate support for Nifty is placed at 25,000, followed by 24,800.
Sectoral Performance: On Wednesday, gains were primarily led by buying in IT, FMCG, and realty stocks. Out of the 50 Nifty stocks, 26 ended in the green, while 15 out of 30 Sensex stocks closed higher. The Nifty IT index climbed nearly 3%.
