Indian markets ended lower on 4 August 2026, snapping a four-day winning streak as profit booking and volatility ahead of the weekly derivatives expiry weighed on sentiment. The rollout of NSE's revised Closing Auction Session (CAS) and caution before the RBI policy decision also kept investors on edge.
The Sensex fell 210 points, or 0.27%, to 78,428.95, while the Nifty declined 159 points, or 0.64%, to 24,614.90. With the RBI policy now behind us, market participants will closely watch whether Bank Nifty can lead the next phase of the market's recovery, especially as the recent CAS changes have altered trading dynamics around the opening and closing sessions.
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman:
EIDPARRY(Cmp 803.10)
EIDPARRY: Buy above ₹805, stop ₹760 target ₹880 (Multiday)
- Why it’s recommended: E.I.D. Parry (India) Limited is a major Indian public company focused on sweeteners, nutraceuticals, and bio-energy, operating as part of the Murugappa Group. After spending nearly 12 months in a declining phase the stock saw some firm upmove in the last few days. In the recent revival we can see a Kumo cross offered by the Tenkan Sen that is inching higher indicating a possible upward momentum ahead of its Q1 numbers. Moving beyond recent value area at 780 indicates that we can consider this as an invitation to go long.
- Key metrics:
- 52-week high: ₹1246.10,
- Volume: 430.87K
- Technical analysis: Support at ₹710, resistance at ₹950.
- Risk factors: Sugar price volatility, government policy shifts on cane and ethanol pricing, and monsoon-dependent sugarcane yields..
- Buy : above ₹805.
- Stop loss: ₹760.
- Target price: ₹880 (2 Months)
SAPPHIRE (Cmp 192.30)
SAPPHIRE:Buy above ₹194, stop ₹184 target ₹217 (Multiday)
- Why it’s recommended:Sapphire Foods India Ltd is a major omnichannel restaurant operator and a key franchise partner for Yum! Brands Inc,. Since April this year the prices have been taking steady support at the Tenkan Sen and Kijun Sen to steadily inch higher . Post the recent accumulation at the bands we can now see a strong thrust post its Q1 numbers . A strong long body candle augurs well for some upside if market retains some positive momentum. Fresh uptick in the DI indicates that we can look to initiate a long opportunity here for a push to higher levels. Go long now.
- Key metrics:
- 52-week high: ₹347.90,
- Volume: 960.48K.
- Technical analysis: Support at ₹167, resistance at ₹225.
- Risk factors: Supplier dependency, margin pressures, and cyclical travel industry exposure.
- Buy : above ₹194
- Stop loss: ₹184
- Target price: ₹217 (2 Months)
ASTERDM (Cmp 834.70)
ASTERDM: Buy above ₹838, stop ₹790 target ₹925 (Multiday)
- Why it’s recommended:Aster DM Quality Care Limited (formerly Aster DM Healthcare Limited) is a major Indian healthcare enterprise founded by Dr. Azad Moopen in 1987. It operates a large network of hospitals, clinics, and pharmacies. The steady rounding pattern that has emerged since January 2026 reaction that formed a base since March and attempting a recovery to finally move above the cloud region. The prices also has seen steady increase in volumes combined with the rising ADX DMI indicating that there is no sign of let up in momentum. A break above 820 was a key event that is now initiating us to go long.
- Key metrics:
- P/E Ratio: 271.67
- 52-week high: ₹1354
- Volume: 785.78K
- Technical analysis: Support at ₹770, resistance at ₹950.
- Risk factors: Post-merger integration, aggressive structural scaling, specialized attrition, geographical concentration, and strict compliance metrics.
- Buy : above ₹838.
- Stop loss: ₹790.
- Target price: ₹925.
Stock market recap
Sectoral performance was largely negative, with Realty plunging 2.4%, Oil & Gas down 1.1%, FMCG off 0.9%, and IT losing 0.8%. Media stocks bucked the trend, rising 2%, while Metals gained 0.9%. In the broader market, midcaps shed 0.3% but smallcaps managed a 0.2% rise.
Nearly 150 stocks hit fresh 52-week highs, including Titan, Nestle India, Siemens, and TVS Motor. Key movers included UPL, which slumped 7% after its CEO resigned, and LIC, which dropped 7% on a government stake sale. Meanwhile, Ather Energy surged 14% and Restaurant Brands Asia rallied over 20% on improved quarterly results.
Outlook for trading
Going into today’s trading action the market remains mixed as the attempt to suppress the bearish sentiment has been successful so far. Each of the sector has some strong performers that is managing to keep the bullish sentiment alive. However, at this juncture one should take note of the deep correction that we have witnessed and the fall could escalate once key support levels at 24,300 are broken.
As a rebound is in progress the resistances continue to remain at 24,800 with the Max Pain Point remaining at 24,550 that will come in contention as possibility of a rebound is unfolding. The levels around 24,300 would continue to hold the selling at bay. A closing move above this area is needed hence it would be a testing phase for the trends ahead. The heavy Put writing at 24,450 is now holding the fort for the bullish camp. The Put Call Ratio (PCR) is slightly above 1 in Nifty as well as BankNifty highlighting that an attempt is being made produce a rebound by the bullish camp.
Currently the ADX / DMI that was bearish has not been able to establish the dominance and this is helping the bullish camp revive. This is signalling that trends are attempting a rebound from lower areas as can be seen from the chart below. However, as trends are still under pressure, we still have to bide our time as the last few sessions have been quite range bound.
Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.
Investments in securities are subject to market risks. Read all the related documents carefully before investing. Registration granted by Sebi and certification from NISM in no way guarantees performance of the intermediary or provide any assurance of returns to investors.
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.