Pre-Market Report (2 Sept 2025): Nifty, Sensex & Key Sectors
Global Market Cues
Global cues are mixed as Indian markets open for the second trading session of September. US markets ended higher with Nasdaq continuing its upward momentum on the back of strong tech earnings. The Dow Jones, however, was flat as industrials lagged. The S&P 500 managed modest gains, reflecting cautious optimism. European markets closed mixed, weighed by energy price volatility and muted economic data from Germany. Asian markets this morning are trading range-bound, with Nikkei steady, Hang Seng slightly lower, and Shanghai Composite marginally up.
In commodities, crude oil is holding near $79/bbl, stable compared to last week. Gold remains firm at $1,990/oz, supported by safe-haven demand amid geopolitical concerns. The US dollar index is steady near 105, while US 10-year bond yields edged higher to 4.25%, reflecting investor caution.
Domestic Cues Driving the Market
On the domestic front, investors are watching FII and DII flows, the rupee’s movement, and corporate announcements. The rupee closed Monday flat at 83.10 per dollar. Bond yields edged higher to 7.24%, reflecting concerns over inflation and borrowing levels. With the RBI policy meeting expected later this month, traders are positioning cautiously ahead of interest rate commentary.
Nifty & Sensex Outlook for 2 Sept 2025
Nifty is likely to open range-bound today. Key support is placed at 24,500 and 24,350, while resistance lies at 24,750 and 24,850. Sensex is expected to trade between 80,600 and 81,200. The broader market may remain volatile, with midcap and smallcap indices underperforming if FII selling continues.
| Index | Support | Resistance | Expected Range |
|---|---|---|---|
| Nifty 50 | 24,500 / 24,350 | 24,750 / 24,850 | 24,350–24,850 |
| Sensex | 80,600 | 81,200 | 80,600–81,200 |
| Bank Nifty | 54,300 | 55,000 | 54,300–55,000 |
| Nifty Midcap 100 | 45,200 | 46,000 | 45,200–46,000 |
| Nifty Smallcap 100 | 17,800 | 18,200 | 17,800–18,200 |
Sectoral Trends to Watch
IT: Infosys, TCS, and HCL Tech expected to stay strong with support from Nasdaq rally and a weaker rupee.
FMCG: HUL, ITC, and Nestle in focus due to festive demand recovery.
Banks: Private banks like HDFC Bank and ICICI Bank under pressure from FII selling; PSU banks such as SBI steady.
Metals: Tata Steel and Hindalco likely to remain weak amid global demand slowdown.
Pharma: Sun Pharma, Dr. Reddy’s expected to attract defensive buying.
Autos: Maruti, M&M may gain on strong sales data.
Realty: Realty stocks could face profit booking after last month’s rally.
FII & DII Flows
Foreign Institutional Investors (FIIs) continued their cautious stance with net outflows of around ₹1,200 crore in Monday’s session, primarily from banking and metals. Domestic Institutional Investors (DIIs), however, provided support with inflows of ₹900 crore, led by mutual funds and insurance companies. This ongoing tug of war between FIIs and DIIs remains a critical driver of market direction in September.
👉 Continue reading Part 2 for Stocks in Focus, Technical Outlook, Trading Strategies, FAQs, Internal Links, and Tools Hub CTA.
Stocks in Focus Today
- Infosys: Likely to see gains following Nasdaq rally and rupee weakness.
- HUL: Festive demand optimism supports stock; FMCG sector remains steady.
- SBI: PSU banks may stay stable amid volatility in private lenders.
- Reliance Industries: Focus on energy margins and telecom performance; stock may stay range-bound.
- Tata Steel: Weakness expected due to sluggish global demand and tariff risks.
- Maruti Suzuki: Likely positive after reporting strong monthly sales data.
- Sun Pharma: Attracts defensive buying interest; sector seen stable.
Technical Outlook for 2 Sept 2025
On the daily charts, Nifty formed a neutral candle on 1 Sept, closing flat. For today, immediate support is placed at 24,500 and 24,350, while resistance is seen at 24,750 and 24,850. A breakout above 24,850 may open the path to 25,000, while a drop below 24,350 could trigger deeper correction.
Bank Nifty remains weak with supports at 54,300 and 54,000; resistance near 55,000. RSI for Nifty is near 53, indicating neutral momentum, while MACD is flat. Volatility index (India VIX) is steady around 13.5, suggesting low volatility but room for sudden moves.
Trading Strategies for Today
- Nifty: Buy on dips near 24,500 with targets of 24,750–24,850. Maintain stop loss at 24,350.
- Bank Nifty: Avoid aggressive longs until the index sustains above 55,000.
- Positional Traders: Focus on IT, FMCG, Pharma for medium-term stability.
- Intraday Traders: Look for range-bound opportunities between 24,500 and 24,800.
- Sector Rotation: Consider shifting allocations from Metals and Banks to defensives like FMCG and Pharma.
Frequently Asked Questions (FAQ)
Q1. What are Nifty’s key levels today?
Support at 24,500 and 24,350; resistance at 24,750 and 24,850.
Q2. How is Bank Nifty positioned?
Weak trend continues; support at 54,300, resistance near 55,000.
Q3. Which sectors are expected to do well?
IT, FMCG, and Pharma remain strong while Metals and Banks may stay weak.
Q4. What global factors are impacting markets today?
US tech rally, steady crude near $79, mixed Asian markets, and US bond yields.
Q5. Which stocks should traders keep an eye on?
Infosys, HUL, SBI, Reliance, Tata Steel, Maruti Suzuki, and Sun Pharma.
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