It was a volatile week for Infosys as the stock plunged to Rs 1300 following earnings announcement and then rebounded to close the week with less than 3 per cent loss. As we have explained earlier, there is a strong medium-term resistance between Rs 1400 and Rs 1450 since the 200-day moving average is poised here and it is also the upper boundary of our medium-term trading range. A reversal from here can pull Infosys lower towards Rs 1100 over the medium term.
The stock can continue to face resistance at Rs 1450 over the near-term. If it reverses lower from current levels, a decline to Rs 1300 and Rs 1256 would be on the cards. Target on a break above Rs 1450 is Rs 1492.