Nifty & Bank Nifty Post-Market Analysis for 20 Aug 2025
Key Takeaways
- Nifty closed above the 25,000 mark, showing strength despite volatility.
- Bank Nifty remained range-bound after morning weakness.
- Global cues and sector rotation influenced price action.
- Technical indicators suggest cautious optimism for 21st August 2025.
Price Action Breakdown (Nifty and Bank Nifty)
Nifty 50 Index
Nifty opened on a strong note, following bullish cues from global markets. The index crossed the psychological level of 25,000 during the second half and closed around 25,047.15. Buyers stepped in after early dips. A bullish flag breakout is observed on lower timeframes.
Bank Nifty Index
Bank Nifty underperformed slightly and stayed in a narrow range. It tested a high near 55,900 but faced selling pressure. The index closed at 55,702.10. On the 5-minute chart, a consolidation pattern is forming which could resolve with a breakout tomorrow.
Global Market and Macro Updates
- US Markets closed mixed as investors weighed Fed commentary.
- S&P 500 held key support at 5,200 amid bond yield fluctuations.
- Crude oil prices remained steady. Brent hovered near $83/barrel.
- USDINR saw mild depreciation; RBI intervention likely capped volatility.
Technical Indicator Table
| Index | RSI | India VIX | PCR (OI) |
|---|---|---|---|
| Nifty 50 | 61.2 | 11.18 | 1.11 |
| Bank Nifty | 53.6 | — | 0.94 |
Sector Performance
| Sector | Performance |
|---|---|
| IT | +1.3% |
| FMCG | +0.9% |
| Banking | -0.2% |
| Auto | +0.5% |
Trading Strategy for 21/08/25 (Intraday + Swing)
Intraday Strategy
- Nifty: Watch 25,100 resistance. A breakout above this level may trigger momentum buys with targets near 25,180–25,220. Support seen near 24,950.
- Bank Nifty: Monitor 55,850–55,900 zone for breakout trades. If rejected, expect profit booking down to 55,400 levels.
Swing Strategy
- Nifty: Trend remains bullish. Buy on dips near 24,900–24,950 with SL below 24,840.
- Bank Nifty: Neutral bias. Wait for confirmation above 56,000 or below 55,300 for positional trades.
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Key Levels Table
| Index | Support | Resistance |
|---|---|---|
| Nifty 50 | 24,950 / 24,840 | 25,100 / 25,220 |
| Bank Nifty | 55,400 / 55,300 | 55,900 / 56,050 |
Final Thoughts
Nifty continues to outperform while Bank Nifty remains cautious. Volatility is low, favoring directional trades. Focus on high-volume breakout zones for better risk-reward setups. Stay disciplined with entries and stop-losses.
Disclaimer
This article is for educational purposes only. Trading in financial markets involves risk. Please consult a registered financial advisor before making any investment decisions.
