Aetram Research India: NIFTY IT Weekly Sector Outlook
Nifty IT Shows Recovery Momentum; Strength Beyond 28,650 May Extend Gains, While 27,800 Remains Key Support - 03.10.2026
Current Market Price: 28,304.70
Market Prediction
- Nifty IT is attempting a recovery after defending the 27,700–27,800 region, with price now holding above its nearby moving average. RSI near 57 reflects improving momentum, while MACD is recovering despite remaining below equilibrium. Sustained strength above 28,650 could extend recovery, whereas failure below 27,800 may restore bearish pressure.
Upcoming Events
- Global technology earnings and forward guidance may influence sentiment across Indian IT companies.
- US interest-rate expectations and movements in technology valuations may affect sector momentum.
- USD/INR movement and overseas client-spending outlook may influence earnings expectations for export-oriented IT companies.
Major Support and Resistance
- Support: 28,100, 27,800, 27,500
- Resistance: 28,650, 29,100, 29,500
Volume Analysis
- A sharp volume expansion appeared during the recent recovery from lower levels, indicating stronger participation near support. Continued above-average activity with price holding above 28,100 would strengthen recovery credibility; declining participation could limit follow-through near resistance.
Final Take Away
- Nifty IT is showing early recovery signs after sustained weakness, supported by firmer RSI and improving momentum. However, resistance remains significant above 28,650. Holding 28,100 keeps recovery intact, while 27,800 remains the important downside protection level.
Next Week Prediction
- Nifty IT may attempt further recovery if 28,100 holds; sustained strength above 28,650 could test 29,100, while weakness below 27,800 may revive selling pressure.
Scenario-Based Outlook
- Bullish Scenario: Above 28,650, price may move toward 29,100–29,500 zone.
- Bearish Scenario: Below 27,800, downside risk toward 27,400–27,000 zone.
- Neutral Scenario: Between 27,800–28,650, consolidation likely.
Disclaimer: This research report is for informational purposes only. This is not an offer to buy or sell securities. Past performance is not indicative of future results. There is no guarantee of returns. Investments in securities are subject to market risks including loss of capital. Investors should consult their financial advisor before making any investment decisions.
