Nifty IT Index Snaps 4-Day Losing Streak: Infosys and Coforge Lead Aggressive Sectoral Short Covering
The National Stock Exchange (NSE) witnessed an extraordinary sector-led short-covering rally yesterday as the Nifty IT index snapped a punishing four-day losing streak, outperforming the broader benchmark indices by a wide margin. The tech-heavy index surged by 4.64% to close at 26,846.70 points, injecting highly visible bullish momentum back into Indian export-heavy equities.
Large-Cap Technology Performance Matrix
| Company Ticker | NSE Closing Price (₹) | Absolute Intraday Change (₹) | Percentage Delta (%) |
|---|---|---|---|
| Coforge Ltd | ₹1,447.90 | +₹77.20 | +5.63% |
| Infosys Ltd | ₹1,038.40 | +₹53.10 | +5.39% |
| Mphasis Ltd | ₹2,230.10 | +₹103.30 | +4.86% |
| Persistent Systems | ₹4,532.00 | +₹201.80 | +4.66% |
| HCL Technologies | ₹1,079.20 | +₹45.00 | +4.35% |
Macro Catalysts Fueling the Rebound
Market microstructure data indicates that the primary driver behind this sharp turnaround was a massive capital rotation out of highly extended international artificial intelligence (AI) infrastructure and semiconductor stocks into deep-value IT services assets. Following intense global volatility—where indices like South Korea’s Kospi corrected sharply amid overvaluation fears—institutional asset managers pivoted heavily toward Indian tech clearings where valuation baselines have adjusted significantly over the first half of calendar year 2026.
Technical Analysis Perspective
Technically, the Nifty IT index executed a textbook daily chart rebound after testing its multi-month support floor near late 2023 lows. The aggressive buy-side structural footprint is validated by an expanding relative volume indicator. Near-term resistance targets are now projected at the descending 20-day exponential moving average line, whereas long-term accumulation desks are stepping in to actively defend the newly formed structural floor.