WEEKLY TRENDSETTER ( SEPT 5,2025)
| 2025 | AUG 22 | AUG 29 | Ch % |
| NIFTY | 24870 | 24426 | -1.79 |
| BANK NIFTY | 55149 | 53655 | -2.71 |
| USD/INR | 87.51 | 88.19 | 0.78 |
MARKET REVIEW-The markets failed to respond to the festive spirit and the proposed GST cuts as this was clouded by the US imposition of additional 25% tariff on select goods like textiles, gems & jewellery, auto ancilliaries, etc. Both the indices saw sharp cuts and while DII’s bore the brunt of FII selling it was still not enough to stall the slide in the markets.
INTERESTING CUES
CG Power may roll out India s first Made in India chip
The plant was inaugurated in Gujarat last week and it marks an important milestone in its journey to manufacture chips for semi-conductors. The pilot project will enable customers to test out the chip before acceptance. At peak capacity approx. 5 lac units per day is targeted to be manufactured. Around Rs 7600 cr will be invested over a period of 5 years to develop 2 facilities.
US tariff victims
The additional 25% tariff on Indian exports to US has thrown a spanner in the works of several key industries like textile, leather, gems & jewellery,auto anciliaries and even tea.US revenue accounts for 28% of the textile exports and has forced the exporters to look at other markets. Some are even exploring Indian markets eg: Kitex Garments has launched its US quality babywear brand Little Star in India to offset weak US demand. Diamonds are more severely hit as 30% of exports were to US and production has already been hampered with a 40% cut as well as layoffs.
NIFTY –The index which had opened with a big gap up in the previous week shed all the gains and closed for the week below 24500.No sector was spared and the fall was widespread. The next critical support is around 24150 and resistance would be around 24700.
BANK NIFTY-The index saw a sharper cut and heading towards 52900 where the 200-dma is placed. However, the slide till 51600 looks on cards in the coming days as both private and PSU banks are wilting under selling pressure.
STOCK PICKS
NIFTY –The index has seen a sharp cut in the past few days and looks like heading towards 24000 in the coming weeks. In the very near term the market looks oversold. Investors and traders can look to buy the Sept 30 24000 put at around 80 (last closing 120) for a possible target of 160-70 and stop-loss of 50 before the month end expiry.
Bank Nifty -The index clearly looks vulnerable as it has breached critical levels and looks approaching the 200-dma of 52900.Ideally one could buy 53000 put at around 220 which would make risk reward favourable for a possible target of 400 and stop loss of 120 before the expiry for the month.
Wishing all readers a great week ahead!
Note: Any queries /clarifications may be addressed to stockmasala@gmail.com .
Krish Subramanyam