The Indian stock markets appear poised for a continuation of the recent bullish trend, with the Nifty 50 and Sensex maintaining upward momentum, supported by expectations of a GST rate cut, foreign fund inflows, and positive global cues.
Analysts forecast a possible breakout in the Nifty towards the 25,000 mark on Thursday, while cautioning that the Bank Nifty shows signs of consolidation and bearish undertones.
Stock Market Outlook Today, 4 September 2025
On Wednesday, benchmark indices, the National Stock Exchange (NSE) Nifty 50 and Bombay Stock Exchange (BSE) Sensex ended the day with solid gains, forming a bullish undertone that suggests the possibility of a further rally, although some caution persists in the banking sector.
The Nifty closed 135.45 points or 0.55% higher at 24,715.05, while the Sensex ended the session with a gain of 409.83 points or 0.51%, settling at 80,567.71. Both indices touched intraday highs of 24,737.05 and 80,671.28 respectively before closing slightly off those levels.
Market sentiment was largely driven by optimism surrounding the ongoing two-day GST Council meeting, which began on Wednesday and is expected to bring changes to the indirect tax structure that could stimulate consumption.
Sensex, Nifty Prediction Today Amid Ongoing 56th GST Council Meeting 2025
Technically, the Nifty has formed a bullish candle while remaining within the range of the previous session, indicating ongoing consolidation with stock-specific moves. According to Bajaj Broking Research, the index is now approaching the 20-day and 50-day exponential moving averages, which are positioned around the 24,800 level. This zone is seen as immediate resistance and a decisive move above it could pave the way for a retest of the psychological 25,000 mark.
Market analyst Tejas Shah observed that the Nifty has respected the 24,500 support level for two consecutive sessions, reinforcing it as a crucial base for future movement. He pointed out that the market closed near the same level where it paused on Tuesday around the 20-day moving average and suggested that if this momentum continues, the index could move toward the 24,900-25,000 zone in the coming sessions.
Bank Nifty Outlook Today; Technical View for September 4, 2025
While the broader market remains buoyant, the Bank Nifty presents a more cautious picture. Despite closing at 54,000 with gains of over 400 points on Wednesday, the index is showing signs of weakness. Technical charts indicate a bearish pattern of lower highs and lower lows, and analysts warn that the selling pressure near the 54,000 mark remains significant.
Bajaj Broking has highlighted that immediate support lies between 53,500 and 53,300, bolstered by the 200-day exponential moving average and the lows recorded in May 2025. A breakdown below this range could trigger a deeper correction toward 52,500-52,000.
In the broader market, mid-cap and small-cap indices continued to trade in positive territory, reflecting strong participation from retail investors.
GST Slab Revision Likely to Boost FMCG, Metal and Consumer Stocks
Sectorally, buying interest was visible in metals, FMCG and consumption-driven stocks, areas likely to benefit the most from potential changes in GST slabs. The possibility of lower indirect taxes on key consumer goods has lifted investor sentiment, especially after Prime Minister Narendra Modi hinted at consumption-focused reforms in his Independence Day speech.