[6:44 am, 25/7/2025] LotusFunds: Morning Asia @ 7 AM – Friday, July 25th 2025

# Gift Nifty is indicating a turbulence start for the benchmark Nifty.

# Strictly speaking, for the day, Nifty can move higher only in the shadow of a bullish theme at global stock markets.

# As of writing, Wall Street stock futures are edging higher buoyed by strong corporate earnings and positive trade developments.

In overnight trade, the S&P 500 and Nasdaq Composite gained 0.07% and 0.18%, respectively, and most importantly, both setting fresh record highs.

The bullish theme revolves around a trade deal with Japan that includes 15% tariffs on Japanese imports—lower than the previously threatened 25%.

# The US reportedly is also closing in on a deal to lower tariffs on the EU to 15% from the earlier threa…
[7:34 am, 25/7/2025] LotusFunds: Morning Action @ 7 AM – Friday, July 25th 2025

# Gift Nifty is indicating a turbulence start for the benchmark Nifty.

# Strictly speaking, for the day, Nifty can move higher only in the shadow of a bullish theme at global stock markets.

# As of writing, Wall Street stock futures are edging higher buoyed by strong corporate earnings and positive trade developments.

In overnight trade, the S&P 500 and Nasdaq Composite gained 0.07% and 0.18%, respectively, and most importantly, both setting fresh record highs.

The bullish theme revolves around a trade deal with Japan that includes 15% tariffs on Japanese imports—lower than the previously threatened 25%.

# The US reportedly is also closing in on a deal to lower tariffs on the EU to 15% from the earlier threat of 30%, consistent with set moves on Japan.

# Bottom-line: Caution to cloud Nifty’s bullish outlook amidst the familiar uncertainty: Potential US-India trade developments.

# Long Story short: Caution will be the buzzword.

# 7:00 AM GLOBAL UPDATE:
GIFT Nifty: (-108, 24981)
Dow Futures: (+133, 44827)
Nasdaq 100 Futures (+79, 23299)

Nikkei (-208, 41615)
Hang Seng (-136, 25532)

Dow Jones (-316, 44693)
Nasdaq Composite (+38, 21058)
Bovespa (-1561, 133808)

# MARKET TRENDS:
Global cues: Positive
FII: (-2133.69 crores)
DII: (+2617.14 crores)
Sentiment: Risky
Market Breadth: Negative
Technicals: Overbought conditions
F&O: 24500 - 26000 zone.

India VIX 10.72 (+1.97%)
USD/INR Futures (29th July) 86.42
Nifty PCR (31st July) 0.76
Bank Nifty PCR (31st July) 0.84

# Nifty Outlook: Looks like, Nifty bears are here to stay.

# Technically, Nifty bulls are likely to be at bay as long as 25300 mark is a hurdle. Please note, the bears are likely to be everywhere on any close below 24881 mark.

# WHAT TECHNICALS TELLS US ON NIFTY & BANK NIFTY:

NIFTY (CMP 25062):
SUPPORT: 24881/24473
RESISTANCE: 25300/25670
RANGE: 24850-25150
BIAS: Negative
21 DMA: 25311
50 DMA: 25060
200 DMA: 24057

SENSEX (CMP 82184):
SUPPORT: 81500/80353
RESISTANCE: 82785/84100
RANGE: 81500-82500
BIAS: Negative
21 DMA: 82969
50 DMA: 82251
200 DMA: 79226

BANK NIFTY (CMP 57066)
SUPPORT: 56200/55011
RESISTANCE: 57615/58700
RANGE: 56300-57300
BIAS: Negative
21 DMA: 57020
50 DMA: 56313
200 DMA: 52441

WHAT HAPPENED AT WALL STREET IN OVERNIGHT TRADE:

# The S&P 500 and the Nasdaq scale new closing high in Thursday’s trade while the Dow Jones slides.

The Dow Jones bleeds due to big drops in IBM, Honeywell, and UnitedHealth.

# Gold prices ($3370 per ounce) extending its more than 1% loss from the previous session, as optimism over further trade deals between the US and key partners dampened the metal’s safe-haven appeal.

# WTI crude oil futures were steady at the $66.05 per barrel.

# STOCK MARKET NEWS:

# After yesterday’s massive drubbing, it appears that Nifty bears are here to stay.

# Technically, Nifty bulls are likely to be at bay as long as 25300 mark is a hurdle. Please note, the bears are likely to be everywhere on any close below 24881 mark.

# Our call of the day suggests any intraday optimism is likely to turn to dust amidst 5-negative catalysts like:

1) Overbought technical conditions.
2) Massive profit booking/ long unwinding witnessed in Thursday’s session.
2) FII selling: This July, the FIIs have net sold to the tune of Rs. 28307 crores.
3) Uninspiring Q1FY26 by Indian corporates.
4) Anxiety ahead of the outcome of agreements between the US-India trade developments.

# Nifty’s support only at 24881 mark.

# Technically speaking, Nifty is vulnerable to declines with downside risk towards its biggest support at 24881 mark. Confirmation of strength only above 25300 mark.

Bank Nifty’s biggest make-or-break support at 56200 mark.

# Q1 Corporate India’s earnings this Friday, July 25th: LAURUS LAB, CIPLA, BAJAJ FINSERV, PETRONET, SHRIRAM FINANCE.

# Nifty dropped in yesterday’s trade as deadlock over agri continues in the India-U.S. trade deal.

# IT earnings disappointment also weighed on sentiments as INFY dropped 1.5%, COFORGE tumbled 9%, Persistent tanked 7.7% and Tech Mahindra fell 3.5%.

# Among sectoral indices, maximum pain was witnessed in Nifty IT (-2.20%) followed by Nifty FMCG (-1.18%)

1) Indian Energy Exchange (IEX) crashed 29% after the Central Electricity Regulatory Commission (CERC) announced approval for market coupling. This step has raised concerns over IEX's dominant standing in power trading as it may now face intensified competition.

2) Nestle’s stock price dropped 5.5% to emerge as top Nifty loser as Q1 net profit misses estimates.

Chairman and MD Suresh Narayanan said that elevated consumption prices across the commodity portfolio impacted the company's earnings in Q1.

3) Canara Bank’s stock price climbed 5.30% after its asset quality in the June quarter improved on a sequential basis.

Canara Bank's gross NPA improved to 2.69% from 2.94% last quarter, while Net NPA improved to 0.63% from 0.7% in the previous quarter.

4) Force Motors jumped 12.5% after the company reported a 52.4% jump in consolidated net profit to Rs 176.33 crore in Q1 FY26 compared with Rs 115.70 crore in Q1 FY25. Net sales increased 21.9% YoY to Rs 2297.25 crore in Q1 June 2025.

# Now, before we get into detail of today’s trading session, here is the preferred trade on Nifty and Bank Nifty:

Nifty (25060): Sell at CMP. Stop at 25413. Targets 24987/24881. Aggressive targets at 24473-24500 zone.

Bank Nifty (57066): Sell at CMP. Stop at 57819. Targets 56600/56200. Aggressive targets at 55011-55251 zone.

# Our chart of the day is bearish on VOLTAS, CUMMINS and DLF on any early excessive intraday strength with an interweek perspective.

# The 1 Stock to Buy Right Now: Buy M&M (CMP 3261): Buy on dips between 3200-3215 zone. Stop at 3031. Targets 3271/3367. Aggressive targets at 3501. (Interweek Strategy). Rationale: Massive breakout play on cards on the monthly charts. The stock is witnessing bullish consolidation. Momentum oscillators in bullish mode. Key interweek support 3053. Confirmation of strength above major hurdles at 3303.

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