Weekly Update- 22nd August 2026

NIFTY50

NIFTY50 at 24,252 (-0.47%) is showing a recovery attempt, but the broader weekly structure remains range-bound. The latest weekly candle has tested 24,025 and recovered toward 24,252, indicating buying interest near support, while the daily chart shows stabilization after the recent sell-off. The index is currently attempting to form a base around the lower end of the recent trading range, although sustained buying participation is still required to improve the overall structure. Immediate support is at 24,200–24,025, followed by 23,800–23,600. Resistance is at 24,300–24,400, followed by 24,600–24,800. A sustained close above 24,400 can improve momentum toward 24,600–24,800, whereas a break below 24,025 would reopen downside toward 23,800. Overall, the setup is neutral to mildly bearish until 24,400 is reclaimed.

BANKNIFTY

BANK NIFTY at 57,762 (+0.47%) continues to show a relatively stronger structure than NIFTY50. The weekly chart is holding around the 57,500–57,800 region after recovering sharply from the 50,000–52,000 area, while the daily chart remains above its key moving-average supports. The index continues to demonstrate relative strength, with buyers defending lower levels despite intermittent profit booking near resistance. The broader structure remains constructive as long as the recent higher-low formation is maintained, although a decisive breakout is required to trigger the next meaningful upward move. The immediate support zone is 57,500–57,400, followed by 57,000–56,600. Resistance is at 57,800–58,000, followed by 58,200–58,700. A decisive breakout above 58,000 would strengthen the bullish continuation setup toward 58,200–58,700, while a break below 57,400 could lead to consolidation toward 57,000. Overall, BANK NIFTY remains constructive and stronger than NIFTY50, provided 57,400 holds.

TOP GAINING SECTOR

NIFTY CAPITAL MARKETS was top gainer sector for the week

Major gainers were:-

MOTILAL OSWAL:- up by 9.55%

MCX INDIA:- up by 9.39%

NIPPON INDIA:- up by 7.12%

HDFC AMC:- up by 5.03%

TOP LOSING SECTOR

NIFTY IT was top losing sector for the week

Major losers were:-

LTM:- down by 4.82%

MPHASIS:- down by 4.52%

HCLTECH:- down by 4.23%

INFOSYS:- down by 4.12%

IMPORTANT NEWS

• India’s widening trade deficit is a negative macro signal, especially with higher energy imports amid Gulf-related supply disruptions. A larger deficit can pressure the rupee and current account, while higher crude/LNG costs can hurt margins for oil-sensitive sectors. Oil & Gas, airlines, chemicals and other import-heavy businesses could face pressure, while exporters may benefit from a weaker rupee. Markets will closely track crude prices, INR and the duration of the supply disruption.

• A potential GDP growth rate above the RBI’s 6.7% forecast is a positive signal for the domestic economy. Stronger growth would support banks, financials, capital goods, infrastructure, consumption and real estate, while improving earnings expectations. The key question is whether growth is broad-based or driven mainly by government spending. If stronger growth continues alongside manageable inflation, it could support domestic equities and corporate earnings.

• India’s push toward battery energy storage addresses a major challenge with renewable power: solar generation does not always match electricity demand. Greater storage deployment can improve grid stability and reduce renewable-energy curtailment. This is positive for battery storage, power equipment, transmission, renewable-energy and grid-infrastructure companies. The bigger opportunity is that storage can make renewable power more commercially viable and accelerate India’s shift toward a higher share of solar and wind in the power mix.

• Record sugar prices are a major development for the sugar industry, but the story is more nuanced than simply “sugar prices up = sugar stocks positive.” Government policy is encouraging diversion of sugarcane toward ethanol, reducing the quantity available for sugar production. This tightens supply and supports prices, potentially improving sugar mills’ realizations and margins. However, higher sugar prices can also increase the probability of government intervention through export, inventory or pricing measures, so policy risk remains important.

• The 5.4% growth in core infrastructure output remains healthy but shows some moderation from June. This is important because the eight-core-sector index provides an early signal for industrial activity. Continued growth supports capital goods, infrastructure, power, construction and metals, but the slowdown suggests investors should watch whether government capex and private-sector investment maintain momentum. A sustained acceleration would be significantly more positive for cyclical sectors and earnings.