IT Stocks Outlook
Volatility likely to continue, focus moving to Q1 results
This story was originally published at 20:16 IST on 5 June 2026
Register to read our real-time news.Informist, Friday, Jun. 5, 2026
NEW DELHI – Volatility in stocks of information technology companies is likely to continue in the near term but their prices are expected to hover around current levels between bouts of rallies and corrections, according to Piyush Pandey, senior vice-president and research analyst at Centrum Broking Ltd.
"The concerns regarding AI (artificial intelligence), with regard to its deflationary impact remain...now the focus shifts to Q1 (Apr-Jun) results," said Pandey. He expects companies to report 0.5-1% sequential growth in constant currency revenue for the June quarter.
Next week, the Nifty IT index is likely to find initial support at 28440 points and counter resistance at 29900 points, according to Ganesh Angaj, head technical analyst at NVS Brokerage Pvt. Ltd. Beyond these levels, Angaj estimated support and resistance at 27920 points and 30450 points, respectively.
Falling for a third consecutive session Friday, the key sectoral index ended almost 1% lower at 29010.30 points. Barring Mphasis Ltd., all the index constituents ended the day in the red. The index pared initial gains to end the week with a marginal drop. On the other hand, the benchmark Nifty 50 ended largely flat at 23366.70 points Friday. Over the week, the 50-constituent index fell 0.8%.
TOP HEADLINES
* CarTrade Tech says OLX India elite buyer sign-ups cross 80,000 in May
* HDFC MF temporarily halts lump-sum subscriptions in gold ETF, fund of fund
* TCS to enable AI-led modernisation in Finnish co Nokian Tyres
* SC moots norms on AI usage in courts, says tech can aid, not replace, judges
* PRESS: Anthropic's cybersecurity model Claude Mythos sets foot in India
* LTM launches managed secure service edge solution with Cisco
* SBI Setty says India needs INR 200-tln invest by 2030 in infra, other sectors
* Hexaware Tech partners with HBSUK for workforce management solution
* TCS expands partnership with Euroclear for Sweden's depository modernisation
* Infosys to help Norway's DNB Bank modernise anti-financial crime systems
* NPCI arm launches UPI in Cambodia, to help cross-border payments linkage
* Intellect Design launches AI platform for UK-, Europe-based digital banks
* India's data centre market to grow at over 30?GR in 2025-30, says Nomura
* Gujarat Mineral, Cambridge University to develop rare earth observatory
* Coforge launches AI platform to help insurance cos modernise operations
* Firstsource details outcomes of strategic partnership with AppliedAI
* HC recognises right to be forgotten, says cos like Google must fall in line
* State Street Global Advisors gets SEBI nod for investment in Groww AMC
* Black Box partners with AIONOS for industry-focused enterprise AI solutions
* Wipro arm to buy additional 20% stake in Aggne Global to reach 80% mark
* Persistent Systems to integrate over 90 personnel from Concise Systems
* Cyient aims to retain key mgmt of Tao Digital Solutions beyond lock-in period
* Tata Technologies gets SAP PartnerEdge Sell authorisation for India, US
* May UPI transactions hit record INR 29.9 tln, volume tops 23 bln
* Cyient to acquire US-based Tao Digital Solutions for $218 million
* RBI, Vietnam central bk ink MoU to boost QR-code-based cross-border payments
* RattanIndia Ent Jan-Mar consol net loss narrows to INR 1.1 bln
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:
| Company | Price | Week-on-week change in % |
Resistance | Support |
| COFORGE LTD | 1,435.50 | 1.00 | 1,493.20 | 1,395.80 |
| HCL TECHNOLOGIES LTD | 1,154.70 | (-)2.50 | 1,196.90 | 1,125.90 |
| INFOSYS LTD | 1,197.50 | 3.20 | 1,234.70 | 1,175.70 |
| L&T TECHNOLOGY SERVICES LTD | 3,212.70 | (-)6.40 | 3,424.20 | 3,094.20 |
| LTM LTD | 4,027.20 | (-)0.90 | 4,174.50 | 3,933.90 |
| MPHASIS LTD | 2,330.00 | 2.60 | 2,379.30 | 2,282.70 |
| PERSISTENT SYSTEMS LTD | 5,038.50 | (-)3.00 | 5,316.80 | 4,871.80 |
| TATA CONSULTANCY SERVICES LTD | 2,198.90 | (-)2.70 | 2,300.70 | 2,141.10 |
| TECH MAHINDRA LTD | 1,483.50 | (-)0.00 | 1,547.90 | 1,435.70 |
| WIPRO LTD | 198.37 | (-)2.90 | 206.00 | 184.30 |
| Index | Levels | |||
| NIFTY IT | 29010.30 | (-)0.20 | 29910.60 | 28468.70 |
| NIFTY 50 | 23366.70 | (-)0.80 | 23622.30 | 23154.90 |
| BSE SENSEX | 74243.34 | (-)0.70 | 75045.40 | 73587.70 |
End
Reported by Shakshi Jain
Edited by Avishek Dutta
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 (11) 4220-1000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2026. All rights reserved.
To read more please subscribe
Share this Story:
