Coforge Ltd, a leading mid-cap IT services company, has staged an impressive turnaround, rallying nearly 47% from its recent lows. As of now, the share is trading at ₹1,950.60 and is inching closer to its all-time high of ₹2005.40—a level that, if breached, could trigger fresh upside momentum.
The stock’s strong comeback has caught the attention of both technical analysts and momentum investors, especially amid renewed optimism in the IT sector and a broader market recovery.
Technical Landscape – Nearing a Breakout Zone
Coforge is currently in a 52-week high zone, a critical technical area where buying interest typically intensifies. The all-time high of ₹2005.40 now serves as a key resistance. If the stock manages to sustain above this level with volume confirmation, it could signal a breakout into uncharted territory.
Key support levels are placed at:
- ₹1650 – a strong accumulation zone where the stock found repeated buying interest in recent corrections.
- ₹1454.45 – a deeper base that marks the stock’s previous bottom before the 47% rally began.
Also Read: Adani Wilmar Share Price Lags Behind Nifty 50, Entry Only After 52-Week High Breakout
Relative Strength and Market Positioning
While Coforge is showing strong price recovery, the Relative Strength (RS) indicator suggests it is moving in line or slightly underperforming the Nifty 50. This means the stock hasn’t yet shown consistent outperformance versus the broader index—something momentum traders typically look for post-breakout.
However, the 3-month price action shows clear strength, signaling potential for leadership if market momentum continues.
Momentum Score – Turning Stronger
According to data from StockEdge, Coforge’s momentum is clearly improving:
- 1-Month Score: 70/100 – Bullish
- 3-Month Score: 90/100 – Extremely Bullish
- 6-Month Score: 72/100 – Bullish
These figures show a consistent uptick in sentiment, driven by both institutional accumulation and a broader revival in IT stocks.
Strategic Outlook – Entry After Confirmation
Despite the strong recovery, analysts suggest a disciplined approach to entry. Buying right at resistance can be risky without confirmation. A sustained move above ₹2005.40, backed by higher-than-average volume, would provide a safer and stronger buy signal.
For longer-term investors, any consolidation near support zones (₹1650 or ₹1454) may also offer attractive entry points, especially if the broader market supports continued IT sector growth.
Coforge Ltd’s 47% rally from its bottom highlights renewed strength in its technical structure. With the stock approaching its all-time high of ₹2005.40, a breakout could unlock further upside, but confirmation is key. Investors should watch for volume-backed price action before taking fresh positions.
As momentum builds, Coforge stands out as one of the top mid-cap IT stocks poised for a potential leadership role in the next market leg.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Please consult a financial advisor before making investment decisions.
Viraj Jain is an active stock market trader and technical analyst with a sharp eye for identifying trend-driven opportunities. Passionate about market movements and price behavior, he specializes in analyzing crucial support and resistance levels in high-momentum stocks. Viraj is dedicated to keeping fellow investors informed with timely stock updates, chart-based insights, and actionable technical analysis that bridges the gap between market noise and informed trading decisions.