More Stories

Informist, Friday, Jan. 23, 2026

MUMBAI – Information technology stocks are expected to move in a range in the coming weak, with technical analysts expecting some temporary corrections. Market participants will closely monitor the outcome of US Federal Reserve's rate-setting committee meeting scheduled next week for cues on its interest rate cut trajectory.

After reducing interest rates in its last three consecutive meetings, the US Fed is widely expected to hold rates steady in the upcoming meeting with inflation remaining above target and not "too bad" employment data, Dow Jones Newswires reported. The CME FedWatch Tool currently shows a 97% chance that the Fed will pause rate cuts in January. 

IT stocks are expected to remain range-bound in the near term with no major triggers, a fundamental analyst covering the sector at a domestic brokerage said. Market participants now await further details on the demand environment, which is expected to be more clear in the March quarter, the analyst said. Any updates on the 2025 technology budgets by US-based clients will also be closely watched by the Street, as domestic IT companies earn a lion's share of their revenue from the US. 

Most of the sectoral players, barring a few, have announced their December quarter earnings over this two weeks. Commentaries from the company managements indicated no major change in demand environment during the quarter except some highlighting an uptick in the banking, financial services and insurance space, the analyst said. This week, large-cap technology player, LTIMintree, and mid-cap technology players such as Persistent Systems, Coforge, Mphasis, and Cyient have detailed their December quarter earnings.

Over this week, the Nifty IT index fell 2.2%, compared with the 2.5% and 2.4% sequential fall in the benchmark Nifty 50 and Sensex. Barring HCL Technologies and Tech Mahindra, all other constituents of the sectoral index fell on a weekly basis. Next week, the index is seen finding support at 37000 and resistance at 39000, said Jigar Patel, technical analyst at Anand Rathi Shares & Stock Brokers. 

TOP HEADLINES

* Analyst Concall: Coforge eyes 15% EBIT margin in Q4 to meet 14% FY26 target
* Earnings Review: One-time cost over labour codes pulls down Coforge Q3 PAT
* Zensar Tech Oct-Dec consol PAT rises nearly 10% QoQ to INR 2 billion
* Analyst Concall: Mphasis expect deal wins, large deals ramp-ups to continue
* Earnings Review: Mphasis Q3 consol PAT down 5.7% QoQ, misses Street estimate
* Cyient Oct-Dec consol PAT falls 28% QoQ to INR 918 million
* Kalmar Oyj selects TCS to carry out IT service transformation
* Earnings Review: Oracle Fincl Q3 PAT up, QoQ sales growth highest in 8 qtrs
* Analyst Concall: Competitive intensity hits Eternal Q3 numbers, store plans
* Earnings Review: Eternal Q3 PAT, revenue top Street; Goyal resigns as MD, CEO
* TCS to provide treasury ops solutions to Rajarambapu Sahakari Bank
* HCL Tech partners with Team Global Express to improve logistics ops via AI
* Mastek Oct-Dec PAT rises over 11% on qtr despite 4% fall in revenue
* Earnings Outlook:Coforge Q3 consol PAT seen dn QoQ on wage hike, forex losses
* Earnings Outlook: Furloughs likely to cap Mphasis' Q3 sales, PAT growth QoQ
* Analyst Concall: Persistent Systems on track to meet FY27 revenue goal
* IPO Alert: Shadowfax Technologies issue subscribed 47% on first day
* HCL Tech, Carahsoft partner for digital transformation in public sector in US
* Analyst Concall: Persistent Systems on track to meet long-term revenue goals
* Earnings Review: Persistent Systems' Q3 PAT dn QoQ on labour code provisions
* Newgen Software Oct-Dec consol PAT down 23% QoQ as sales fall a tad
* Earnings Outlook: Blinkit expansion to drive Eternal's Q3 consol PAT growth
* Analyst Concall: LTIMindtree plans wage hike in Q4, 50% staff may get raises
* Earnings Outlook: Furloughs, wage hike to weigh on Persistent Systems Q3 PAT
* Earnings Review: One-time cost on new labour law drags dn LTIMindtree Q3 PAT
* India's gold demand firm; invest interest key driver in coming mos, says WGC
* Netweb Technologies Oct-Dec PAT up over two-fold QoQ at INR 733 million
* IPO Alert: Amagi Media Labs issue subscribed over 30 times as of final day
* Analyst Concall: Share buyback option on table to deploy excess cash - Wipro
* Analyst Concall: Tata Tech targets organic double-digit growth in FY27
* Analyst Concall: Tech Mahindra positive about BFSI recovery going ahead
* Wipro says order pipeline strong, AI-led transformation deals in focus
* Demand environment strengthened Q3 but not dramatically, says Tech Mahindra
* Earnings Review: Tech Mahindra Q3 PAT down QoQ on one-time cost; misses view
* Earnings Review: Tata Tech Q3 consol PAT sees steepest fall ever
* Earnings Review: Wipro PAT falls QoQ on higher employee costs; misses view
* Earnings Outlook: Wage hikes, furloughs to slow LTIMindtree Q3 PAT growth

Following are the resistance and support levels for key IT stocks for next week as per calculations based on their prices on the National Stock Exchange:

End

Reported by Arya S. Biju

Edited by Akul Nishant Akhoury

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2026. All rights reserved.