IT stocks gain on value buying after steep falls

Software service providers gain on value buying after a recent slump. Tata Consultancy Services gains 3.2 percent, while Infosys is up 2.1 percent and Wipro gains 2.2 percent.

Technical indicators also show the falls may be overdone. The 14-day relative strength index for the NSE IT sub-index dipped below 30 on Wednesday for the first time since April 2013.

The sub-index is also trading below its 20-, 50-, and 100-day moving averages as well as at the lower of its Bollinger band.

IT outsourcers have largely missed out on the record with the NSE IT sub-index down 11.4 percent so far in March compared with a 3.94 percent gain in the NSE.

Profit-taking after a strong rally last year, worries about a recovering rupee and caution about revenue in the current quarter have pressured IT shares.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • Government must give up majority ownership in loss making PSU banks

    After four years of braving economic slowdown and provisioning for rising non performing assets (NPAs), public sector banks are in urgent of capital.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

BK Chaturvedi

Cooperative federalism and governance

Improving relations between the states and the Centre to improve ...

Kuruvilla Pandikattu SJ

Reason drives religion, science

Both religion and science are driven by reason, claims Rama ...

Gautam Gupta

Retailers have it tough, thanks to e-commerce

For the past few months our focus has been on ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture