Don't Miss This Nifty50 IT Stock in Your Trading Bets

  • Stock Market Analysis

About the company:

HCL Technologies Ltd (NS: HCLT ) is one of the global IT services companies and ranks among the top five Indian IT services. The company offers an integrated portfolio of services including software-led IT solutions, remote infrastructure management, engineering, and R&D services, and BPO. The stock is trading at a 15% discount to its 52-week high level. The 52-week high and 52-week low range is Rs 1,378 – Rs 843.

Technical observations:

One week time frame: (Chart 1)

On a weekly time frame, from the chart below, you should note that HCL stock is trading in a Long-term Ascending Channel. You should also see that after breaking an important resistance level of Rs 1,080, the scrip made an all-time high of Rs 1,378 and has since then pulled back to take support at Rs 1,080 level and bounce back. We expect the stock to further move upward aided by increased volumes. Note that the share has ably managed to bounce from the 50-day EMA level. Relative Strength Index (or RSI) line, after taking support at the level of 50 is above now 50 indicating regaining of positive momentum on the scrip. Long-term investors can enter at the current level or once the stock closes above the level of Rs 1,280. They should maintain a stop loss at Rs 1,044 on a weekly closing basis.
HCL1
One day time frame: (Chart 2)

On a daily time frame, HCL Tech stock is in process of making a Rounding Bottom formation. On December 2, 2021, the share was able to close above the 50-day EMA. Today, it is testing the 50-day EMA line. We anticipate seeing a rebound and an upward move in the stock supported by higher volumes. RSI line is also testing the level of 50. We anticipate it to bounce back and resume the positive momentum. Positional traders can enter only when the stock crosses the Rs 1,200 level and stays above it. Stop-loss should be maintained at Rs 1,148 on a daily closing basis.
HCL2

Conclusion:

We believe HCL Tech stock to maintain positive bias and head higher. Short-term traders can enter once the stock crosses Rs 1,178 level and stays above it. However, they should follow a strict stop loss at Rs 1,155 on a daily closing basis.

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100
  • rajesh kumar thakur @rajesh kumar thakur
    good structure for entry.
    Like 1
  • Mih Esh @Mih Esh
    buy on dips till 1155
    Like 1
  • Mih Esh @Mih Esh
    and target 1225
    Like 1
  • Mih Esh @Mih Esh
    correct it to 1100
    Like 0
  • Rakesh Raushan @Rakesh Raushan
    1350 is short term target....if crosses 1560
    Like 0
  • Mayank Ashra @Mayank Ashra
    Short term targets?
    Like 0
  • Mayank Ashra @Mayank Ashra
    Short-term targets?
    Like 0
  • Masood Shahid @Masood Shahid
    hcl is already in my radar since 1st december
    Like 1
  • Masood Shahid @Masood Shahid
    hcl is already in my radar since 1st december
    Like 1
  • Kuldeepsinh Gohel @Kuldeepsinh Gohel
    techM is more better looking
    Like 3

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