Premarket Report -

Premarket Report for the Indian Market Today (Friday, July 4 2025)

I. Market Overview & Global Cues

The Indian market ended lower on Thursday (July 3, 2025), with both Nifty and Sensex slipping amidst profit booking in financials, a weakening rupee, and continued FII outflows.¹ This marks a subdued start to July after the strong rally in late June. Global cues this morning are mixed. While US markets saw gains yesterday (July 3rd) after a stronger-than-expected US jobs report, Asian markets are broadly mixed to negative today.

II. GIFT Nifty Position

As of approximately 7:40 AM IST today, GIFT Nifty futures are trading around 25,560.00, up by about 65 points (+0.25%) from its previous close (25,495.00). This indicates a flat to slightly positive opening for the Indian market today, suggesting a potential rebound after yesterday’s decline.

III. Nifty 50 Support and Resistance Levels

Resistance:
- Immediate: 25,500 – 25,600
- Stronger: 25,700 – 25,774
- Crucial Hurdle: 26,000
Support:
- Immediate: 25,300 – 25,400 (Crucial support where Nifty closed yesterday)
- Stronger: 25,177 – 25,200
- Key Base: 24,800 – 25,000

IV. Bank Nifty Support and Resistance Levels

Resistance:
- Immediate: 57,000 – 57,200
- Stronger: 57,500 – 57,650
- Crucial Hurdle: 58,000
Support:
- Immediate: 56,500 – 56,800 (Where Bank Nifty closed yesterday)
- Stronger: 56,262 – 56,300
- Key Base: 55,500 – 55,800

V. FII and DII Data (as of July 3, 2025)

FII (Foreign Institutional Investors):
- Equity Cash Segment: Net Sell of ₹1,481.19 Crores (FIIs continued their selling trend in the cash market for the third consecutive day in July).
- Derivatives (Index Futures): Net Position: While exact long/short contracts for July 3 are not explicitly detailed, overall FII derivatives data shows net sales, contributing to overall FII outflows. For July month till date, FIIs are net selling ₹3,531.7 crore.
DII (Domestic Institutional Investors):
- Equity Cash Segment: Net Buy of ₹1,333.06 Crores (DIIs continued to provide robust support by being net buyers in the cash market, cushioning the FII outflows). For July month till date, DIIs are net buying ₹3,807.8 crore.

Summary of FII/DII Data: FIIs have consistently been net sellers in the cash segment in the initial days of July, indicating a cautious stance and profit booking. However, DIIs have largely absorbed this selling pressure, providing a crucial floor to the market.

VI. July Month OI Contact Put and Call (Based on July 3, 2025 end-of-day data)

Note: As this is the beginning of the July series, Open Interest will be building. The significant levels for the monthly expiry (July 31, 2025) will be distinct from any weekly expiries within July.

Nifty 50 – July 31, 2025 Monthly Expiry:
- Highest Call Open Interest (Resistance):
  - 25,500 and 25,600 strike prices are seeing significant Call OI build-up. This indicates immediate strong resistance for the current series, suggesting that market participants expect Nifty to find it challenging to sustain above these levels for the July expiry.
  - Further resistance is visible around 26,000, which is also a significant psychological level.
- Highest Put Open Interest (Support):
  - 25,300 and 25,000 strike prices are accumulating substantial Put OI. This suggests strong support levels, with 25,300 acting as the immediate key support for the month.
Bank Nifty – July 31, 2025 Monthly Expiry:
- Highest Call Open Interest (Resistance):
  - 57,000 and 57,200 strike prices are attracting major Call OI, making them crucial resistance levels for the July expiry.
  - Further resistance is seen at 57,500.
- Highest Put Open Interest (Support):
  - 56,500 and 56,000 strike prices show significant Put OI build-up, indicating strong support zones for the Bank Nifty for the July series.

VII. News and Updates

India-US Trade Deal: Intense talks for an interim trade deal between India and the US are ongoing.² Clarity on this front could significantly impact market sentiment, particularly for sectors involved in bilateral trade.
Rupee Weakness: The Indian rupee fell against the US dollar yesterday, trading around 85.70 amid global risk aversion.³ Continued rupee depreciation could be a concern for FII flows.
HDB Financial Services Listing Impact: HDB Financial Services gained over 4.5% post-listing on July 3, reflecting investor confidence in the NBFC. HDFC Bank also netted a significant amount from the share sale. This positive listing might bring some cheer, though the broader market remains cautious.
SEBI Action: SEBI has reportedly barred US trading firm Jane Street Group from accessing India’s securities market, indicating regulatory vigilance.⁴
Specific Stock News:
- NCC: Secured new orders worth ₹1,690.51 crore in June 2025.
- Tata Chemicals: Recommended as a buy by analysts.
- Punjab National Bank (PNB): Recommended as a buy by analysts.⁵
- Saksoft: Witnessed a bullish breakout.
- Automotive Stampings and Assemblies Ltd. (ASAL): Recommended as a buy by analysts.
- Sobha Ltd. & Chambal Fertilisers & Chemicals Ltd.: Also received buy recommendations.
F&O Ban: Check for updates, but common names like ABFRL, BSOFT, CHAMBLFERT, CDSL, HINDCOPPER, IEX, IREDA, MANAPPURAM, RBLBANK, TITAGARH often feature in the F&O ban.

VIII. Major Economic Event in US Market Tonight

Today, July 4, 2025, is a public holiday in the United States (Independence Day).⁶

Therefore, US financial markets (stock, bond, and futures markets) will be closed tonight. There will be no major economic data releases or market actions from the US today. This means global cues from the US will be limited, and the Indian market will primarily react to domestic developments and broader Asian market trends.

IX. Key Factors to Watch Today:

FII Flows: The continued FII selling in cash remains a concern, despite strong DII buying. Any change in this trend would be significant.
India-US Trade Deal Updates: News related to the ongoing trade talks could impact sentiment.
Global Market Sentiment: Performance of other Asian markets throughout the day will provide cues.
Rupee Movement: Continued depreciation of the rupee could put pressure on the market.
Sectoral Performance: Watch if financials continue to see profit booking or if there’s a rebound. Pharma, media, oil & gas, auto, and consumer durables saw gains yesterday.

Disclaimer: This report is for informational purposes only and does not constitute financial advice. Please consult with a qualified financial advisor before making any investment decisions.