The Indian stock market started this week's trading session with a bang. On Monday, August 11th, Sensex and Nifty gained by nearly 1%, halting their sixth consecutive weekly losses due to heightened tensions related to trade tariffs between the US and India. This week, while economic data, earnings season, FIIs flow, and domestic and external factors will play a key role in driving sentiment, the festive season will also have its fair share.
Stock Market Holidays 2025:
The current trading week is holiday-shortened. Meaning, trading on BSE and NSE will be open only for four days this week, from August 11 to August 14.
Meanwhile, trading in equity, equity derivatives, derivatives, bonds, commodities and forex on August 15, August 16, and August 17.
Market Holiday On August 15:
The reason why the stock market will be closed on August 15th is that India will celebrate Independence Day, which is a national holiday.
Market Holiday On August 16 & August 17:
On these two days, the market will be closed due to the weekend holidays.
Sensex, Nifty On August 11:
Sensex and Nifty started the week with a banger. The 30-scrip benchmark closed at 80,604.08, higher by 746.29 points or 0.93%. While Nifty 50 ended at 24,585.05, up by 221.75 points or 0.91%. Bank Nifty zoomed by nearly 1% or 506 points to close above 55,510.
On sector-wise performance, all indices ended on a positive note with strong buying seen in pharma, metals, auto, oil & gas, realty, and PSU bank stocks.
According to Vinod Nair, Head of Research, Geojit Investments, the market saw a relief rally post a 3-month low; a positive global cue and a gradual return of FIIs supported the sentiment. The PSU banks took the limelight amidst Q1 results from the banking major, while a broad-based momentum was visible across all sectors. Investors are positively assessing the upcoming US-Russia Summit this week, which may possibly give way to a de-escalation in geopolitical tensions.
Stock Market Outlook On August 12:
"We believe that 24,500/80400 and 24,445/80200 would act as key support zones for day traders. Above these levels, the pullback move is likely to continue till 24,700-24,750/81000-81200. On the flip side, below 24,445/80200, sentiment could turn negative. Traders may then prefer to exit their long positions," said Shrikant Chouhan, Head Equity Research, Kotak Securities.
Furthermore, Hariprasad K, Founder, Livelong Wealth, said, "Sentiment, however, remains under the shadow of the steep 50% US tariff on Indian exports. Markets are awaiting the outcome of Friday's Putin-Trump meeting in Alaska, which could influence trade policy and investor mood."
Also, Ajit Mishra - SVP, Research, Religare Broking said, over the past six weeks, there have been multiple instances where the Nifty began the week on a strong note, only for the momentum to fade in the final sessions. This time, however, it appears that the markets have largely digested the recent tariff-related concerns and are now focusing more on earnings cues, with the results season nearing its end. Additionally, oversold positions in heavyweights are providing support. Still, only a decisive close above the 24,600 mark could extend this recovery towards the 24,800-25,000 zone. Traders should maintain a hedged approach and focus on stocks consistently displaying relative strength for long positions.
Stock Market Outlook This Week:
Among the major key events to watch out for this week are the domestic CPI and WPI inflation data. In addition, the developments in US-India trade relations will also remain in focus amid ongoing discussions over a trade agreement.
Moreover, the earnings season is at its last leg with upcoming notable Q1FY26 results of Ashok Leyland, ONGC, IOC, Hindalco Industries, BPCL, and others, which are expected to drive stock-specific action.
According to Religare's expert, near-term market direction will be shaped by clarity on US tariff implementation, India's diplomatic response, and incoming inflation readings. A sustained breach of key supports could accelerate profit-taking, particularly in trade-sensitive and export-oriented sectors. However, domestic demand-driven segments such as infrastructure, select autos, and rural-focused FMCG may display relative resilience if macro conditions hold steady.
He also added that investors may adopt a defensive-to-neutral stance, prioritizing companies with strong domestic earnings visibility and minimal tariff exposure, while maintaining cash buffers for opportunities during deeper corrections. Global developments, especially from the US economic calendar and any signs of softening trade rhetoric, will be pivotal in determining whether the current downtrend persists or stabilises.
Disclaimer: The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.
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