Morning Action @ 7 AM – Tuesday, August 12th 2025

# In early action, Gift Nifty is trading with caution as bulls seen taking a breather after yesterday’s spectacular strong start.

# Bullish sentiments however are likely to prevail as reports suggests that the White House has announced the US-China tariff truce deadline will be extended by 90 days.

# That said, aggressive bullish traders will prefer to yawn as focus turns towards the US CPI to be wired on Tuesday, August 12th. We will spy with one big eye if it can move the needle towards a 25 or 50bp rate cut for September.

# Obviously, the storm could be back if inflation continues to spike.

# Please note, the June CPI report showed that President Donald Trump’s tariff policies are starting to have a moderate impact on inflation.

# Bottom-line: Nifty is likely to consolidate with bulls praying that Nifty does not slip below its major inter-week support placed at 24336 mark. Intraday support at 24437 mark.

# 7:00 AM GLOBAL UPDATE:
GIFT Nifty: (-5, 24571)
Dow Futures: (+53, 44028)
Nasdaq 100 Futures (+23, 23550)

Nikkei (+927, 42745)
Hang Seng (-83, 24824)

Dow Jones (-201, 43975)
Nasdaq Composite (-65, 21385)
Bovespa (-290, 135623).

# MARKET TRENDS:
Global cues: Positive
FII: (-1202.70 crores)
DII: (+5972.40 crores)
Sentiment: Bullish
Market Breadth: Positive
Technicals: Oversold zone
F&O: 23500 - 25300 zone.

INDIA VIX 12.21 (+1.5%)
USD/INR Futures (Aug) (87.80)
NIFTY PCR (28th Aug) 0.98
Bank Nifty PCR (28th Aug) 0.76

# Nifty Outlook: Nifty Bulls will prefer to wait for CPI for next move higher.

# WHAT TECHNICALS TELLS US ON NIFTY & BANK NIFTY:

NIFTY (CMP 24585):
SUPPORT: 24437/24333
RESISTANCE: 24751/25050
RANGE: 24450-24750
BIAS: Positive
21 DMA: 24858
50 DMA: 25024
200 DMA: 24043

SENSEX (CMP 80604):
SUPPORT: 80111/79551
RESISTANCE: 81100/82784
RANGE: 80300-81000
BIAS: Positive
21 DMA: 81481
50 DMA: 82070
200 DMA: 79198

BANK NIFTY (CMP 55511)
SUPPORT: 54900/53483
RESISTANCE: 55900/56700
RANGE: 55200-56200
BIAS: Positive
21 DMA: 56240
50 DMA: 56400
200 DMA: 52700

WHAT HAPPENED AT WALL STREET IN OVERNIGHT TRADE:

# Wall Street witnessed a choppy start as traders looked ahead to the release of the July Consumer Price Index (CPI) report.

# The biggest theme however was that in an effort to assist in easing semiconductor export restrictions, Nvidia and Advanced Micro Devices agreed to give the U.S. 15% of the revenue the two companies get from selling their AI chips to China.

# As for the main indexes, the Nasdaq Composite fell 0.3% to 21,385, the broader S&P 500 shed 0.3% to 6,373, and the Dow Jones Industrial Average gave back 0.5% to 43,975.

# Gold prices ($3355 per ounce) plunged after President Donald Trump announced that the metal would not face tariffs, easing fears of a sharp increase in gold import costs.

# WTI crude oil futures were seen consolidating near the $64 a barrel.

# STOCK MARKET NEWS:

# It was nice to see Nifty bulls managing to regain some of their bullish composure in yesterday’s trade, ending at 54585 mark, up 222 points.

Nifty (CMP 24585)
Bank Nifty (CMP 55511)

# The Big Question though remains: Will Nifty be able reclaim its psychological 25000 mark?

# Well, brace for some volatility as bullish traders eye US and India’s CPI to trickle in this Tuesday.

# Also, the street will spy with one big eye on the Trump–Putin summit to take place this Friday, August 15th in Alaska and eager to know whether the said summit can lead to peace in Ukraine more than 3 1/2 years after Moscow’s invasion.

# Meanwhile, the biggest positive catalyst: Mutual Funds inflows are at record highs at Rs. 42672 crores as against Rs 23,568 crore in June.

So, the good news is that Rs 30,416 crore has come through new fund offerings.

Interestingly, Small cap funds were the biggest contributors to the inflows, drawing in Rs 6,484 crore during the month.

Also note, SIP is at whopping record highs at 28464 crores.

What is heartening is that the total assets under management (AUM) of the Indian mutual fund industry crossed the Rs 75 lakh crore mark in July 2025, reaching Rs 75.36 lakh crore.

# Long story short: For the day, commanding attention will be the US CPI to be wired on Tuesday, August 12th at 6:00 PM IST. (We will spy with one big eye if it can move the needle towards a 25 or 50bp rate cut for September).

# Stocks on Spotlight:

1) SBI (+2.08%) and Tata motors (+3.2%) were star outperforms in yesterday’s trade, gaining post their FYQ1

2) HBL Engineering (+13.47%) share price zoomed to its eight-month high after its consolidated net profit increased 79% on the year to Rs 143 crore from Rs 80 crore.
# Bottom-line: Consolidation could be the order of the day!

3) Keep an close eye on PSU PMC like HPCL & BPCL as Government has approved Rs 30,000-crore compensation to oil marketing companies for their losses on cooking gas sales

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

Nifty (24585): Buy between 24450-24475 zone. Stop at 23901. Targets 24700/24857. Aggressive targets at 25000-25300 zone.

Bank Nifty (55511): Buy between 55200-55300 zone. Stop at 54101. Targets 55850/56100. Aggressive targets at 56600 mark.

# Our chart of the day is bullish on HPCL, BPCL, and MARUTI on any early excessive intraday weakness with an interweek perspective.

# The 1 Stock to Buy Right Now: BUY PRESTIGE (CMP 1653): Buy at CMP. Stop at 1583. Targets 1685/1711. Aggressive targets at 1813. (Interweek Strategy). Rationale: Signaling a massive rebound on the upside. Enjoyed a strong session in yesterday's trade, up 3.07%. Key interweek support 1591. Major hurdles only at 1711 mark. 200-DMA at 1490.

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Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

This does not construe to be an investment advice. Stock market investments are subject to market risks. All information is a point of view, and is for educational and informational use only. The author accepts no liability for any interpretation of articles or comments on this platform being used for actual investments.