Wipro shares continued their significant multi-month downtrend, reaching a fresh 52-week low for the second consecutive session. The IT sector stock slipped to Rs 165.20 during trading, extending a year-to-date decline of 38%. The company's market capitalization has fallen to Rs 1.65 lakh crore amidst the persistent weak market sentiment.
The stock is currently trading below its 5, 10, 20, 30, 50, 100, 150, and 200-day moving averages, indicating a strong bearish trend. Its Relative Strength Index (RSI) stands at 30, signaling that Wipro shares are on the verge of entering the oversold zone.
Expert Analysis on Wipro's Technical Outlook
Financial experts have weighed in on Wipro's current trajectory and potential future movements. Virat Jagad, Senior Technical Analyst at Bonanza Portfolio, advised investors to avoid entry, citing a clear multi-month downtrend characterized by consistent lower highs and lower lows. Jagad highlighted that the price trades below all key Exponential Moving Averages (EMAs), with heavy red volume confirming active distribution. While the RSI near 30 suggests oversold conditions that might trigger a minor relief rally, he warned against buying into strong overhead resistance and bearish momentum due to excessive risk.
Hitesh Tailor, Technical Research Analyst at Choice Broking, identified the Rs 150–155 zone as a crucial support area, aligning with a previous long-term breakout region. He stated that holding this zone could provide a base for recovery, while the Rs 185–190 zone remains immediate resistance. A decisive breakout and sustained move above this resistance would indicate an improvement in the price structure, potentially opening the door for a stronger recovery. Tailor emphasized that a sustained recovery in the RSI from these lower levels, coupled with the price holding the Rs 150–155 support, would offer early signs of stabilization. Overall, the stock remains sideways to bearish as long as it trades below the Rs 185–Rs 190 resistance and fails to establish a higher-high formation.
Short-Term Price Targets and Ranges
Adding to the technical perspective, Jigar S Patel from Anand Rathi noted that support for Wipro shares is currently placed at Rs 160, with resistance at Rs 171. Patel suggested that a decisive breakout above Rs 171 could lead to further upside towards Rs 175. For the short term, the stock is expected to trade within the Rs 160-Rs 175 range.
The continued decline and expert warnings underscore the challenging environment for Wipro shares, with investors closely watching for signs of stabilization or a potential reversal from its prolonged downtrend.