Technical Analysis for 12 Aug 25
In the dynamic world of the Indian stock market, technical analysis serves as a cornerstone for traders and investors seeking to navigate volatility and make informed decisions. This comprehensive technical analysis for 12 Aug 25 focuses on key indices like Nifty 50, Bank Nifty, and Sensex, drawing from today's market performance on 11 Aug 25. With a bullish close across major indices, we delve into price movements, candle patterns, support and resistance levels, and precise predictions to equip you with actionable insights for tomorrow's trading session.
Market Developments Today & Our Prior Analytical Review :
On August 11, 2025, the Indian stock market closed positively, with the Nifty 50 opening at 24,371.50 and finishing at 24,585.05, a 0.91% gain on 191.11M volume.
Bank Nifty rose 0.92%, closing at 55,510.75, while the Sensex increased by 0.93% to 80,504.08. The day's trading showed a recovery from early dips, driven by buyer interest. Our previous analysis accurately predicted this bullish trend, reinforcing the reliability of our market insights. For more details, visit: Previous Analysis .
Key Observations of Market Closing
The market wrapped up on a positive note, with all major indices showing gains on moderate volume. A key highlight is the formation of bullish daily candle patterns, hinting at potential continuation for tomorrow.
Nifty 50 closed with a strong green candle at 24,585.05, near the day's high of 24,600.85, creating a bullish engulfing pattern that suggests a shift in momentum from sellers to buyers, especially after the 0.95% drop on August 8.
Bank Nifty also formed a bullish candle, closing at 55,510.75, with a long lower shadow indicating rejection of lower prices. This pattern supports predictions for further gains.
Sensex's candle was bullish as well, closing at 80,504.08 near its high, reflecting strong buying pressure. While volume was lower for Sensex, it remained stable for Nifty and Bank Nifty, indicating no signs of distribution.
In technical terms, Nifty's RSI is around 55, suggesting a neutral to bullish stance, which supports positive predictions without immediate reversal risks.
Support and Resistance Levels
Support and resistance are foundational in technical analysis, acting as psychological barriers where price often reverses or consolidates. For 12 Aug 25, we identify levels based on recent highs/lows, Fibonacci retracements, and pivot points.
For Nifty 50:
- Immediate Support: 24,349.20 (today's low), followed by 24,337.50 (8 Aug low).
- Major Support: 24,300 (psychological level and 5-day low zone).
- Immediate Resistance: 24,600.85 (today's high), then 24,671.40 (6 Aug high).
- Major Resistance: 24,733.10 (5 Aug high).
Bank Nifty:
- Support: 54,934.85 (today's low), 54,905.60 (8 Aug low).
- Resistance: 55,551.75 (today's high), 55,652.60 (8 Aug high).
Sensex:
- Support: 79,786.14 (today's low), 79,775.84 (8 Aug low).
- Resistance: 80,509.50 (today's high), 80,550.40 (8 Aug high).
These levels are crucial for market prediction. If Nifty breaks resistance at 24,600, it could trigger a rally, as per Fibonacci extensions from the recent low. Explaining Fibonacci: It's a tool using ratios (61.8%, 100%) to project targets, commonly used in Indian stock market technical analysis for accurate predictions.
Our no-trading zones (detailed in predictions) align with these, avoiding chops between support and resistance.
Nifty Predictions
Based on technical analysis for 12 Aug 25, Nifty shows bullish potential but with defined zones for caution. My opinion: No trading zone from 24,545 to 24,631. This range represents consolidation where price may oscillate without clear direction, typical in technical analysis after a bullish day.
If a 15-minute candle closes above 24,631, expect upside momentum. 1st target: 24,735 (near recent high extension), 2nd: 24,787 (Fibonacci 161.8% level), 3rd: 24,880 (major resistance zone).
If it crosses 24,631 on a 15-minute candle but closes below, go short. 1st target: Today's low 24,550 (adjusted), 2nd: 24,480.
If a 15-minute candle closes below 24,545, downside opens. 1st target: 24,480, 2nd: 24,400, 3rd: 24,350.
Conversely, if it crosses 24,545 on 15m but closes above, upside targets: 1st 24,630, 2nd 24,730.
Important rule: No bullish trade in a bearish candle, no bearish trade in a bullish candle. This prevents fighting the trend, a core tenet of technical analysis.
These nifty predictions factor in today's bullish engulfing pattern, which has a 60-70% success rate in continuations per historical data in the Indian stock market.
To elaborate, 15-minute timeframes are ideal for intraday trading as they filter noise from 5-minute charts while capturing trends better than hourly. In market analysis for tomorrow, monitor volume at breakouts—if above average, targets are more likely.
Bank Nifty Predictions
Bank Nifty's technical analysis reveals similar bullish undertones for 12 Aug 25. My opinion: No trading zone from 55,400 to 55,550. This area could see sideways action, avoiding false breakouts.
If 15m candle closes above 55,550, targets: 1st 55,750, 2nd 55,900, 3rd 56,090.
If crosses 55,550 on 15m but closes below, short targets: 1st today's low 55,400, 2nd 55,270.
If 15m closes below 55,400, downside: 1st 55,270, 2nd 55,150, 3rd 55,025.
If crosses 55,400 on 15m but closes above, upside: 1st 55,600, 2nd 55,700.
Adhere to: No bullish trade in bearish candle, no bearish in bullish.
Bank nifty predictions are influenced by sector rotation; banking stocks often lead rallies in the Indian stock market. Today's hammer pattern suggests support holding, with RSI at 58 indicating room for upside.
Expanding on this, use Bollinger Bands in your analysis—Bank Nifty is near the upper band, signaling volatility expansion if breakout occurs.
SENSEX Predictions
For Sensex, technical analysis points to controlled upside for 12 Aug 25. My opinion: No trading zone from 80,522 to 80,610.
If 15m candle closes above 80,610, targets: 1st 80,827, 2nd 81,094, 3rd 81,320.
If crosses 80,610 on 15m but closes below, short: 1st today's low 80,500, 2nd 80,244.
If 15m closes below 80,522, downside: 1st 80,244, 2nd 80,063, 3rd 79,870.
If crosses 80,522 on 15m but closes above, upside: 1st 80,600, 2nd 80,800.
Rule: No bullish in bearish candle, no bearish in bullish.
Sensex prediction aligns with broader market sentiment, where today's marubozu-like candle indicates strong closes. In Indian stock market history, such patterns often precede 0.5-1% moves.
Tomorrow’s Market Prediction
Tomorrow's market prediction for 12 Aug 25 leans bullish, provided key resistances are breached. Expect Nifty to test 24,631 early; a hold above could push toward 24,735-24,880. Bank Nifty may lead if banking rebounds, targeting 55,750+. Sensex could follow to 80,827.
However, global factors like US markets or oil prices could influence. In technical analysis, watch for volume spikes—low volume breakouts may fail. Overall market analysis for tomorrow: Mildly positive, with volatility in no-trading zones.
To deepen, consider MACD crossovers; assuming positive divergence today, it supports upside in nifty predictions and others.
Final Verdict
In conclusion, the technical analysis for August 12, 2025, indicates a bullish outlook accompanied by clearly defined risk parameters. It is imperative to execute trades solely on confirmed 15-minute closes beyond the designated no-trading zones, while strictly adhering to established candlestick patterns. Our analysis emphasizes the critical role of discipline in attaining success within the Indian stock market.
Disclaimer: This article is for informational purposes only and not financial advice. Trading carries risks; consult a professional before acting. Option Matrix India is not responsible for any losses.