Zensar, HCL Technologies rebounded from 100-month EMA support, says analyst

Virat Jagad, technical research analyst at Bonanza, flags that HCL Technologies and Zensar Technologies witnessed buying interest at their respective 100-month exponential moving averages on the chart

Disclaimer: Views and outlook in this report belong to the brokerages and analysts cited. They do not reflect the views of Business Standard. Readers are advised to exercise discretion. IT stocks have recovered smartly from the calendar year lows, with the Nifty IT index rallying nearly 23 per cent from its July low of 25,699 in the last four months. The index now quotes around 31,699 levels.  Among individual stocks, Coforge, Persistent Systems and HCL Technologies have rallied up to 34-42 per cent from their respective July lows. Tech Mahindra, LTM, Tata Consultancy Services (TCS), Mphasis and Infosys advanced in the 13-22 per cent range, according to ACE Equity data. Amid the share price recovery, Virat Jagad, technical research analyst at Bonanza flags that HCL Technologies and Zensar Technologies have rebounded after testing support around their respective 100-month exponential moving average (EMA) on the charts. The analyst believes that these two IT stocks look favourably placed on the charts. "HCL Technologies is witnessing a recovery after taking support near its long-term 100-month EMA, indicating buying interest at lower levels," says Jagad. 

 

 The chart above shows that HCL Technologies quoted extremely close its 100-month EMA in July 2026. The 100-month EMA now stands at ₹1,016. From the July low of ₹1,059, the stock has rallied 33.7 per cent to a current market price of ₹1,376.   Jagad says the latest (October month) bullish candle suggests improving momentum following the recent correction. The stock is currently trading near ₹1,376, above its 50-month EMA, indicating buying interest at current levels. Meanwhile, Zensar Technologies repeatedly tested the 100-month EMA on the charts in the last five months. The stock shed 38 per cent to its July month low at ₹413 in 2026.  

 

 In October, too, the stock quoted near its 100-month EMA, which now stands at ₹403, before bouncing back to ₹510 levels. At current levels, Zensar has gained over 26 per cent from its calendar year low. Jagad believes that the stock is attempting to form a base after a prolonged correction from its recent highs, with buying interest emerging near its long-term 100-month EMA.  The October month bullish candle indicates a likely recovery toward ₹555–580 levels, as potential upside objectives, says Jagad.