Nifty, Sensex set to snap 6-week losing streak; key levels to watch on August 14

So far this week, Nifty 50 has gained one percent.

After recording strong gains in the previous session, Dalal Street might see a flat start to last trading session of the holiday-shortened week on Thursday, August 14. However, the benchmark equity indices might snap a six-week losing streak in trade today.

At 7.50 a.m., the GIFT Nifty index was trading flat at 24,699, nearly unchanged.

On Wednesday, Dalal Street settled firm in the green after the frontline indices surged over half a percent following positive global cues and upbeat economic data. However, experts advised caution, suggesting the day's uptick might be a bull trap.

FIIs net sold equity shares worth Rs 3,644 crore, having bought stocks valued at Rs 11,350 crore, in contrast, DIIs net purchased equities worth Rs 5,623 crore, according to provisional NSE data.

Key levels to watch in trade

The Nifty continues to lack sustained momentum, with repeated false breakouts trapping traders on both sides. The index is locked in the 24,700–24,300 corridor, and a breakout beyond these boundaries will dictate the next directional move. Strong support levels have helped establish a base, but with the index still trading under key moving averages, sentiment remains cautious.

"The broader consolidation phase is triggering frequent intraday whipsaws, signalling a persistent tug-of-war between bulls and bears. Unless the index convincingly breaches 24,800 on the upside or 24,300 on the downside, choppy conditions are likely to continue," said Dhupesh Dhameja of SAMCO Securities said.

At present, the index is repeatedly encountering resistance from the 10-DEMA and 20-DEMA cluster at 24,600–24,750; a sustained close above this zone could spark short covering. On the downside, a breach below 24,500 could extend the decline towards 24,320, a key demand area. The daily RSI hovers near 40, offering no clear reversal signals. Overall, the setup favours a sideways bias, with range-bound strategies retaining merit.

India VIX slipped marginally by 0.76 percent to 12.14. Despite global market headwinds, volatility remains muted, suggesting expectations of consolidation rather than a sharp sell-off. This indicates caution but not outright fear among market participants.

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