The Bank Nifty, however, showed relative weakness, slipping by 10.10 points or 0.02% to close at 55,139.30, as profit-taking weighed on financial names.
Ankush Bajaj’s top 3 stock picks for 25 August
Buy: Emami Realty Ltd (Current price: ₹126.40)
Why Emami Realty is recommended:Emami Realty is showing improving momentum, with the daily RSI at 66, reflecting a positive bias. The MACD has turned positive at 2, while ADX at 16 signals that a new trend is developing.
On the daily chart, the stock has broken out of an upper triangle channel, which often indicates the beginning of a strong rally. This technical breakout, supported by momentum indicators, points toward further upside potential.
Key metrics
Pattern: Daily triangle breakout
RSI: 66, showing bullish momentum
MACD: Positive at 2
ADX: 16, trend building up
Technical view: Triangle breakout suggests upside towards ₹142
Risk factors: The company is loss-making with negative profitability and book value. Valuations are stretched, leaving little cushion if the momentum weakens.
Buy at: ₹126.40
Target price: ₹142
Stop loss: ₹118
Buy: Garuda Construction and Engineering Ltd (Current price: ₹211.60)
Why Garuda Construction is recommended:Garuda Construction has shown strong bullish strength, with daily RSI at 68 and MACD positive at 11. The ADX at 52 highlights a very powerful ongoing trend. Yesterday, the stock rallied 10% with high volumes and closed at a new lifetime high.
Importantly, it has broken out of a rectangle pattern at the ₹205 level, which typically signals continuation of the uptrend. The price and volume action together confirm strong market participation and support for further gains.
Key metrics
Pattern: Rectangle breakout at ₹205
RSI: 68, confirming bullish tone
MACD: Positive at 11
ADX: 52, very strong trend strength
Technical view: Breakout and volume action support a move towards ₹240
Risk factors: High dependence on a limited set of clients, increasing concentration risk. The business is exposed to construction sector cyclicality and project execution delays.
Buy at: ₹211.60
Target price: ₹240
Stop loss: ₹196
Buy: Krystal Integrated Services Ltd (Current price: ₹669.65)
Why Krystal Integrated is recommended:Krystal Integrated is displaying a constructive technical setup. The daily RSI is at 62, sustaining bullish momentum, while the MACD has just given a bullish crossover at 0, strengthening the case for further upside. The ADX at 18 suggests the trend is in its early stages.
On the 45-minute chart, the stock has broken multiple patterns, including a rectangle and a falling wedge upper breakout. On the daily chart, once the price crosses above ₹685, it will complete a bullish pennant formation, potentially triggering a fresh leg higher.
Key metrics
Pattern: Rectangle and falling wedge breakout (45 min), bullish pennant forming on daily chart
RSI: 62, positive momentum
MACD: Bullish crossover at 0
ADX: 18, emerging trend strength
Technical view: Sustaining above ₹685 would validate the bullish pennant and open targets towards ₹710
Risk factors: Operates in a highly competitive facilities management industry with pricing pressures. Rising labour and fuel costs could affect margins in the near term.
Buy at: ₹669.65
Target price: ₹710
Stop loss: ₹648
Market wrap
Sectoral action on 25 August reflected a mixed undertone. PSU Bank (−0.25%), FMCG (−0.10%), and the PSE index (−0.05%) ended lower, exerting pressure on overall breadth. In contrast, defensives and select cyclicals provided support, with Realty gaining 0.75%, Metal rising 0.65%, and Pharma up 0.44%.
In the stock-specific space, Infosys emerged as the top performer, jumping 3.30%, followed by TCS, which rallied 2.84%, and HCL Tech, up 2.58%, all benefiting from sustained sectoral momentum. On the flip side, a few heavyweights dragged sentiment—Adani Enterprises slipped 0.95%, Apollo Hospital declined 0.90%, and Nestle India eased 0.85%.
Globally, optimism was underpinned by softer-than-expected U.S. inflation data, renewing hopes of a September Federal Reserve rate cut. On the domestic front, retail inflation cooled to an eight-year low of 1.55%, further supporting sentiment. These dual macro positives enabled the Nifty to sustain comfortably above the 24,600 mark, despite sectoral divergences.
Nifty technical analysis (daily and hourly)
On 25 August, the Nifty managed to close higher at 24,967.75, gaining 97.65 points or 0.39%, rebounding from recent weakness and stabilizing just below the 25,000 mark. This recovery reflects some short covering and selective buying interest, though the overall structure still carries cautionary undertones.
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From a technical perspective, the index is now trading above its key short-term averages on the intraday chart, while holding close to its medium-term moving averages on the daily timeframe. The 20-DMA at 24,737 and the 40-DEMA at 24,866 continue to act as immediate swing supports, with Nifty closing above both levels—a constructive sign.
On the hourly chart, the index has stayed above the 20-HMA at 24,988 and 40-HEMA at 24,933, keeping the short-term bullish crossover intact. Momentum indicators have improved modestly: the daily RSI has inched up to 53, shifting out of the neutral zone, while the hourly RSI at 52 reflects steady intraday strength.
The daily MACD remains negative at -5, but has flattened, showing signs of bottoming out, while the hourly MACD has turned positive at +3.64, suggesting intraday momentum is tilting in favour of the bulls.
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Derivatives positioning provides an interesting contrast. Overall Call OI remains higher at 17.80 crore versus Put OI of 13.88 crore, leaving a negative OI differential of –3.92 crore, which keeps the broader bias tilted towards the bears. However, the day’s change in OI has a different tone: total Call OI declined by 1.22 crore while Put OI rose by 2.28 crore, creating a positive differential of +3.49 crore.
This shift indicates short covering on the Call side and fresh Put writing, a bullish sign at least for the near term. The heaviest Call OI continues to be placed at the 25,000 strike, cementing this level as a critical resistance zone. Notably, the maximum change in Call OI has been observed at the 25,550 strike, suggesting that traders are beginning to push resistance expectations slightly higher.
On the Put side, the maximum OI and highest additions have both built up at the 25,000 strike, turning this level into a key immediate support — a significant improvement from earlier sessions when major Put OI was placed much lower.
Overall, Nifty’s technical structure has turned neutral-to-positive after holding key daily averages and showing intraday momentum recovery. The immediate battle zone is at 25,000, which now acts as both a resistance and a pivot level. A sustained move above 25,000 with follow-through buying could open the way toward 25,200–25,300, while failure to hold this zone may see the index slipping back to 24,866–24,737, the daily EMA/SMA cluster support.
With the daily MACD still in negative terrain but hourly signals improving, the market is likely to witness range-bound action with a positive bias in the near term. Traders should watch for confirmation of strength above 25,000 to build long positions, while keeping a stop below 24,730 on a closing basis to protect against renewed downside pressure.
Ankush Bajaj is a Sebi-registered research analyst. His registration number is INH000010441.
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Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
