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Nifty Faces Bearish Pressure as Sectors Like Healthcare and FMCG Show Strength
4 Aug
Summary
- Nifty has declined for five straight weeks
- Healthcare, cement, and FMCG sectors may exhibit relative strength
- Caution advised on IT and metal stocks
As of August 4th, 2025, the Nifty index has been on a five-week losing streak, facing resistance around the 24,800-25,000 level. Analysts suggest that the healthcare, cement, and FMCG sectors may exhibit relative strength in the coming week, while caution is advised on IT and metal stocks.
The index continues to trade below its 50-day moving average, reflecting a bearish bias. A decisive breakout above the 25,000 level could shift the bias to bullish, while a drop below 24,500 may lead to further profit-booking. Traders are advised to keep a close eye on the 24,500 support level, as a break below could trigger a deeper sell-off, potentially dragging the index toward the 24,000-23,800 range.
The weekly Relative Strength Index (RSI) remains below its reference line and is trending downward, further reinforcing the bearish momentum. Investors are advised to adopt a defensive positioning in the short term, while selectively accumulating fundamentally strong stocks on dips for long-term opportunities.
