Technical Analysis for 8th Aug 2025
Nifty, Sensex & Bank Nifty Predictions
Technical analysis is a powerful tool used by traders to forecast price movements based on historical data, chart patterns, and trading volumes. By identifying trends, support and resistance levels, and candlestick patterns, traders can make informed decisions in the fast-paced Indian stock market. This article provides a comprehensive technical analysis for August 8, 2025, focusing on the Nifty 50, Bank Nifty, and Sensex indices. Our goal is to equip traders with actionable market predictions and insights to navigate the market effectively.
Today’s Price Movement
On August 7, 2025, the Indian stock market displayed resilience despite intraday volatility. The Nifty 50 opened at 24,464.20, dipped to a low of 24,344.95, and rallied to close at 24,596.15, marking a modest gain of 0.09%. Similarly, the Bank Nifty opened at 55,215.65, touched a low of 54,973.95, and closed at 55,521.15, up 0.20%. The Sensex followed suit, opening at 80,262.98, hitting a low of 79,854.61, and closing at 80,623.26, up 0.19%.
Nifty experienced a strong trading volume of 616.7 million shares, significantly higher than the recent average of 225.09M to 263.36M. Bank Nifty and Sensex also saw increased volumes of 95.43 million and 37.18 million shares, respectively. This uptick in volume reflects robust market interest, likely driven by buying at lower levels.
Daily Candle Pattern
The daily charts of all three indices formed bullish hammer candles, characterized by a small body and a long lower wick. This pattern suggests that after an initial sell-off, buyers stepped in to push prices higher, indicating a potential reversal or continuation of an uptrend. The high volume accompanying these candles adds credibility to the bullish signal, suggesting that the recovery was supported by significant market activity.
Accuracy of Our Previous Analysis
In our previous analysis, we identified a critical trend line support for the Nifty 50 around 24,350. We predicted that after hitting the second downside target near this level, a bounce was likely. On August 7, 2025, the Nifty touched a low of 24,344.95—almost exactly at our predicted level—and rebounded to close at 24,596.15. This precise call validates the effectiveness of our technical approach. For more details, visit our previous analysis.
Key Observations of Market Closing
Here are the key takeaways from the market’s performance on August 7, 2025:
- Bullish Candle Patterns: All three indices—Nifty 50, Bank Nifty, and Sensex—formed bullish hammer candles, signaling potential strength after testing lower levels.
- High Trading Volumes: Nifty’s volume of 616.7 million shares was significantly higher than the previous days, indicating strong buying interest. Bank Nifty and Sensex also saw elevated volumes.
- Intraday Recovery: Despite early selling pressure, all indices recovered from their intraday lows, closing above their opening levels.
- Market Sentiment: The bullish close suggests that buyers are defending key support levels, potentially setting the stage for further upside on August 8, 2025.
Support and Resistance Levels
Support and resistance levels are critical for identifying potential price reversal or continuation points. These levels are calculated using the pivot point method, which uses the previous day’s high, low, and closing prices.
Nifty 50
Level | Value |
|---|---|
Pivot Point | 24,525.10 |
Resistance 1 (R1) | 24,705.25 |
Support 1 (S1) | 24,416.00 |
Resistance 2 (R2) | 24,814.35 |
Support 2 (S2) | 24,235.85 |
Bank Nifty
Level | Value |
|---|---|
Pivot Point | 55,369.97 |
Resistance 1 (R1) | 55,765.99 |
Support 1 (S1) | 55,125.14 |
Resistance 2 (R2) | 56,010.82 |
Support 2 (S2) | 54,729.12 |
Sensex
Level | Value |
|---|---|
Pivot Point | 80,392.63 |
Resistance 1 (R1) | 80,930.65 |
Support 1 (S1) | 80,085.23 |
Resistance 2 (R2) | 81,238.05 |
Support 2 (S2) | 79,547.21 |
These levels serve as key reference points for traders. For instance, if Nifty sustains above its pivot point of 24,525.10, it may test R1 at 24,705.25. Conversely, a break below S1 at 24,416.00 could lead to further declines toward S2 at 24,235.85.
Nifty Predictions
Our Nifty predictions for August 8, 2025, are based on a detailed analysis of price action and key levels. We have identified a no-trading zone between 24,535 and 24,640, where the price is likely to consolidate, making it challenging to predict direction. Traders should avoid initiating new positions within this range to minimize the risk of false breakouts.
Trading Strategy Based on 15-Minute Candle Closes
- Upside Breakout: If a 15-minute candle closes above 24,640, it signals a bullish breakout. Potential upside targets are:
- 1st Target: 24,732
- 2nd Target: 24,800
- 3rd Target: 24,890
- False Breakout (Short Opportunity): If Nifty crosses 24,640 but the 15-minute candle closes below it, consider short positions with targets at:
- 1st Target: 24,540
- 2nd Target: 24,470
- Downside Breakdown: If a 15-minute candle closes below 24,535, it indicates a bearish breakdown. Downside targets are:
- 1st Target: 24,470
- 2nd Target: 24,372
- 3rd Target: 24,350
- Upside Within No-Trading Zone: If Nifty crosses 24,535 but the 15-minute candle closes above it, look for upside targets at:
- 1st Target: 24,620
- 2nd Target: 24,670
Important Note: Avoid bullish trades in bearish candles and bearish trades in bullish candles to align with the prevailing trend and reduce risk.
Why Use 15-Minute Candle Closes?
The 15-minute chart provides a balance between short-term price movements and trend confirmation. A candle close above or below a key level on this timeframe helps filter out noise and confirms the direction of the breakout or breakdown. Traders should set stop-losses just beyond the no-trading zone to manage risk effectively.
Bank Nifty Predictions
For Bank Nifty predictions, we rely on the pivot point levels and recent price action. On August 7, Bank Nifty closed at 55,521.15, above its pivot point of 55,369.97, suggesting a bullish bias.
Trading Strategy
- Bullish Scenario: If Bank Nifty sustains above the pivot point of 55,369.97, it may test:
- Resistance 1: 55,765.99
- Resistance 2: 56,010.82
- Bearish Scenario: If it breaks below Support 1 at 55,125.14, it could decline toward:
- Support 2: 54,729.12
- Key Levels to Watch: Traders should monitor the 55,400–55,600 range for potential consolidation. A breakout above 55,600 could signal further upside, while a drop below 55,400 may indicate weakness.
Given the correlation between Nifty and Bank Nifty, traders can use Nifty’s breakout signals to confirm Bank Nifty’s direction.
Sensex Predictions
For Sensex predictions, the index closed at 80,623.26, above its pivot point of 80,392.63, indicating potential for further gains.
Trading Strategy
- Bullish Scenario: If Sensex holds above 80,392.63, it may target:
- Resistance 1: 80,930.65
- Resistance 2: 81,238.05
- Bearish Scenario: A break below Support 1 at 80,085.23 could lead to:
- Support 2: 79,547.21
- Key Levels to Watch: The 80,300–80,700 range is critical. A sustained move above 80,700 could confirm bullish momentum, while a drop below 80,300 may signal caution.
Tomorrow’s Market Prediction
The market analysis for tomorrow suggests a cautiously optimistic outlook for August 8, 2025. The bullish hammer candles and high trading volumes on August 7 indicate that buyers are defending key support levels. However, the market’s direction will depend on whether the indices can sustain above their pivot points or break below key supports. Traders should watch for:
- Global Cues: Any significant developments in global markets could influence sentiment.
- Economic Data: Upcoming economic releases or corporate earnings may impact specific sectors.
- Technical Confirmation: Use 15-minute candle closes to confirm breakouts or breakdowns from key levels.
Given the high volumes and bullish closes, the market may continue its upward momentum, but traders should remain vigilant and use the identified levels to guide their decisions.
Final Verdict
The technical analysis for August 8, 2025, indicates a market with potential for both upside and downside movements, depending on key level breakouts. For Nifty, the no-trading zone between 24,535 and 24,640 is critical. A confirmed breakout above 24,640 could lead to significant gains, while a breakdown below 24,535 may trigger declines. Bank Nifty and Sensex show similar patterns, with pivot points serving as key decision levels.
Traders should employ strict risk management, setting stop-losses just beyond the no-trading zone or support/resistance levels. Avoid trading against the trend—bullish trades in bearish candles or vice versa can lead to losses. By combining our Nifty predictions, Bank Nifty predictions, and Sensex predictions with disciplined trading strategies, investors can navigate the Indian stock market effectively.
Disclaimer
This article is for informational purposes only and is not financial advice. Trading stocks involves risks, and individuals should seek professional guidance before investing. Option Matrix India is not responsible for any resulting losses.
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