Nifty 50 Slides Amid Broader Market Weakness as Stocks Struggle to Regain Footing

The Indian equity markets experienced a weaker trading session on August 5, 2025, as the Nifty 50 declined by 73.20 points or 0.30%, closing at 24,649.55, and the BSE Sensex slipped 308.47 points or 0.38%, ending the day at 80,710.25. The Bank Nifty also ended in negative territory, falling 259.10 points or 0.47% to settle at 55,360.25, highlighting persistent pressure in the financial space.

Despite the overall market weakness, the article highlights several stocks displaying strong bullish momentum. Jindal Stainless Ltd. is seen forming a reverse head and shoulders pattern and breaking out of a bullish pennant pattern, suggesting further upside potential towards ₹780. Radico Khaitan Ltd. is trading at lifetime highs, with supportive technical indicators pointing to a short-term target of ₹2,990. CCL Products has also broken out of a falling wedge pattern, with momentum indicators favoring a move towards ₹955.

Sectoral trends remained mixed, with key defensive segments like Oil & Gas, Pharma, and FMCG declining, indicating persistent profit-booking. In contrast, strength was observed in cyclical and value-driven sectors, such as Auto, Metal, and the India Consumption Index, hinting at a selective rotation in investor focus.

Among the notable gainers, IndusInd Bank, Titan, and SBI Life Insurance saw sector-specific accumulation and bottom-up buying. However, the positive close was overshadowed by the performance of heavyweight stocks, as Adani Ports, Adani Enterprises, and Reliance Industries experienced significant declines, dragging on overall market sentiment.

Looking ahead, the Nifty's technical structure remains fragile, as the index continues to struggle below its crucial short-term moving averages. Momentum indicators also suggest a bearish bias, with the MACD deep in negative territory and the Put-Call Ratio (PCR) suppressed, indicating prevailing caution among traders. The article advises a sell-on-rise approach near resistance zones, with a focus on key support levels between 24,600 and 24,450, as a breakdown below 24,450 could open the gates to a deeper correction towards 24,000.