Market Wrap

Indian equities closed with modest gains on August 18, 2025, as the Sensex added 57.75 points (0.07%) to settle at 80,597.66, while the Nifty 50 edged up 12 points (0.05%) to 24,631.30. Buying interest in IT and banking stocks offset weakness in metals, oil & gas, and realty counters. On the domestic front, sentiment was aided by Inox Wind’s Q1 profit doubling, BPCL’s plan to import U.S. crude, and an S&P upgrade of India’s credit rating. Globally, equities extended their rally, with the S&P 500 and Nasdaq notching fresh highs as falling U.S. bond yields bolstered rate-cut expectations. Strong global equity fund inflows of $19.32 billion over the past week further highlighted renewed investor confidence.

What's Ahead

Market attention now turns to Prime Minister Modi’s upcoming GST reform announcement on August 15, which could inject fresh momentum if it delivers meaningful structural changes. Investors will also closely watch the Trump-Putin meeting for geopolitical signals, while domestic drivers such as quarterly earnings, monsoon updates, and global macroeconomic data are expected to set the tone for near-term market direction.

Market Snapshots

Institutional Activity

Sectoral Performance

Technical Outlook

Nifty 50 Technical Outlook

Nifty ended almost flat at 24,631.30 (+0.05%), reflecting indecisive sentiment with 24 stocks advancing and 26 declining. Gains in IT majors like Wipro and Infosys, along with support from HDFC Life and Asian Paints, provided stability, but weakness in Reliance and ITC capped upside momentum. Metals were the biggest drag, with Tata Steel sliding over 3%. The index traded within a narrow band, suggesting consolidation, while RSI remains muted. Technically, near-term support lies at 24,485 and 24,395, while resistance levels are placed at 24,777 and 24,868. A breakout above 24,868 could open the door for further upside, but until then, range-bound movement is likely.

Bank Nifty Technical Outlook

Bank Nifty closed 0.29% higher at 55,341.85, led by gains in heavyweights HDFC Bank, ICICI Bank, and SBI. AU Bank stood out with a 1.71% rally, while IDFC First Bank dragged with a 1.62% drop. The index recovered from a weak opening and gained momentum in the afternoon, with volatility easing slightly. RSI has moved above 40, showing early signs of strength. On the technical front, immediate support is at 54,947 and 54,703, while resistance is seen at 55,737 and 55,981. Sustaining above 55,737 could pave the way toward higher targets, though consolidation between 55,000–55,500 remains the base case for now.

Sensex Technical Outlook

The Sensex added 57.75 points to close at 80,597.66 (+0.07%) in a muted session marked by stock-specific action. Gains in HDFC Bank, ICICI Bank, and Infosys were largely offset by losses in Reliance, ITC, and Tata Steel. Market breadth tilted negative, with 16 stocks declining versus 14 advancing, highlighting cautious sentiment. On the technical chart, near-term support is placed at 80,120 and 79,824, while resistance is at 81,076 and 81,371. A sustained move above 81,076 could trigger momentum, while a slip below 79,824 may invite profit booking.

Finnifty Technical Outlook

The Nifty Financial Services index advanced 0.36% to close at 26,333.45, supported by strong performance in banking and insurance names. HDFC Bank and ICICI Bank provided steady leadership, while Muthoot Finance surged nearly 10% on robust Q1 earnings, emerging as the top gainer. However, Kotak Bank and ICICI Lombard capped some of the upside. With 11 advances against 9 declines, breadth was mildly positive. From a technical standpoint, the index shows near-term support at 26,120 and 25,950, while resistance is at 26,580 and 26,730. A move above 26,580 may signal further strength in financials.