Stock market news: Indian stocks continued their decline on Tuesday, impacted by heightened global trade worries ahead of new US tariffs on Indian products. The US President announced an additional 25% tariff, raising the total rate to 50%, effective from today, August 27.
Sensex tumbled 849.37 points, or 1.04%, to close at 80,786.54, while Nifty 50 dropped 255.70 points, or 1.02%, to finish at 24,712.05.
On a global scale, market sentiment has been further dampened after the US President moved to dismiss Fed Governor Lisa Cook over allegations of mortgage document falsification, while also threatening export restrictions on chips as retaliation against digital service taxes.
Indian markets will be closed today on account of Ganesh Chaturthi. Investors will closely monitor any delays in implementing the secondary tariffs on Indian goods, as this could significantly enhance short-term market sentiment.
Nifty 50 Outlook by Sagar Doshi, Senior Vice President- Research, Nuvama Professional Clients Group
Nifty 50
After an inside bar formation on Monday, Nifty 50 opened with a gap down reeling all throughout the session ahead of its trading holiday on Wednesday. The index has closed below its trailing support of 24,800 allowing for further downside to be opened for 24,500 / 24,350. Nifty 50 has also formed a bearish head and shoulders formation on daily charts with a neck line support seen at 24,450. A break below the same post monthly expiry could reel in further pressure on the index.
Bank Nifty
Underperforming Nifty 50, Bank has broken its support of 55,050 opening for test of sub 54,000 odd levels to begin with. The index has also closed at a 3.5 month low on daily charts ahead of its monthly expiry scheduled on Thursday. 55,000 is likely to act as resistance on the upside while the index slides below sub 54,000 levels in the coming week.
Stocks To Buy on Ganesh Chaturthi
On stocks to buy on Wednesday, Sagar Doshi of Nuvama recommended three stocks – FSN E-Commerce Ventures Ltd (Nykaa), Kaynes Technology India Ltd, Dr Reddy’s Laboratories Ltd.
Nykaa (BUY): LCP: ₹231.65; SL: ₹223; TGT: ₹252
Stock has been gaining traction ever since its 3 year triangle breakout seen in June 2025. For now Nykaa has given the highest ever close in past 3 years of trading along with a huge cup and handle breakout on daily and weekly charts. This opens up for a 18-20% trading buy target on the stock, yet we would advise for an initial uptick being 250+ on this leg.
Kaynes Technology India (BUY): LCP: ₹6,197; SL: ₹5,980; TGT: ₹6,620
After a cup and handle breakout in early August 2025, stock has been consolidating near the breakout zone for past 4 weeks now. Last week’s price action suggests further move northwards from CMP as the stock has completed multiple retests of its ongoing breakout.
Dr Reddy’s Laboratories (BUY): LCP: ₹1,263; SL: ₹1,230; TGT: ₹1,355
Sustaining above its 200 DMA support, Dr Reddy’s has also given a bullish flag breakout on daily charts. This allows its initial upside to open for 1350-1360 zone where it could meet another potential breakout on upside.
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 taking any investment decisions.
