In the last 1 year or so the sector has been a major laggard and also on a 2 year time scale.
Quite a few stocks have broken down or at important supports.
I do not prefer buying the bottoms generally so that is out of the picture. But the momentum on the downside is not strong for a major fall as of now. So more so it would be a watch for a quick short or buying on turnaround from supports for a quick pullback trade.
The main clarity is IT Index does not look like a leading sector on upside in the near future.
Hexaware a fresh breakdown but at 170-190 a good dividend yield play.
Infosys --- At a crucial support. Down 20% from peak.
IT Index - Near major supports
Persistent --- Testing major supports
Tata Elexsi - A fresh breakdown ?
TCS --- Pulling back from resistance.
Tech Mahindra --- Under pressure for last 1 year or more.
Wipro - What a breakdown - 2 year range broken
Disclosure - No positions apart from quick short or long initiated in Quickgains
Securities covered above:: Infosys , Tcs , Tech Mahindra , Hexaware , Persistent, Wipro
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