Recent Price Performance and Market Context
As of 25 Feb 2026, HCL Technologies closed at ₹1,339.40, down 6.10% from the previous close of ₹1,426.35. The stock traded within a range of ₹1,322.25 to ₹1,403.05 during the day, reflecting heightened volatility. Despite a 52-week low of ₹1,304.00, the stock remains well below its 52-week high of ₹1,770.00, indicating significant retracement from recent peaks.
Comparatively, HCL’s returns have underperformed the broader Sensex across multiple time frames. Over the past week, the stock declined by 9.66%, while the Sensex fell only 1.47%. The one-month return shows a stark contrast with HCL down 21.52% versus a 0.84% gain in the Sensex. Year-to-date, the stock is down 17.54%, significantly lagging the Sensex’s 3.51% decline. Even on a one-year basis, HCL has lost 18.55%, while the Sensex gained 10.44%. Longer-term returns over three, five, and ten years remain positive but trail the benchmark, with 10-year returns at 230.61% for HCL versus 256.13% for the Sensex.
Technical Indicator Analysis: Mixed Signals Emerge
The technical landscape for HCL Technologies reveals a complex picture. The Moving Average Convergence Divergence (MACD) indicator, a key momentum gauge, is bearish on the weekly chart and mildly bearish on the monthly chart. This suggests that the stock’s medium-term momentum is weakening, with potential for further downside pressure.
Relative Strength Index (RSI) readings on both weekly and monthly timeframes currently show no clear signal, hovering in neutral zones. This indicates that the stock is neither overbought nor oversold, leaving room for directional movement but no immediate extremes.
Bollinger Bands, which measure volatility and price levels relative to moving averages, are bearish on both weekly and monthly charts. This points to increased downside volatility and a tendency for prices to test lower support levels.
Daily moving averages, however, present a mildly bullish outlook, suggesting some short-term support and potential for minor rebounds. This divergence between daily and longer-term indicators highlights the stock’s current indecision and the possibility of short-lived rallies amid a broader bearish trend.
Additional Technical Metrics: KST, Dow Theory, and OBV
The Know Sure Thing (KST) oscillator, which aggregates multiple rate-of-change indicators, is mildly bearish on both weekly and monthly charts, reinforcing the view of weakening momentum. Dow Theory analysis aligns with this, showing a mildly bearish trend on the weekly timeframe and no clear trend on the monthly scale.
On the volume front, the On-Balance Volume (OBV) indicator is mildly bearish weekly but mildly bullish monthly. This suggests that while recent trading volumes have favoured selling pressure, the longer-term volume trend still supports accumulation, indicating some underlying investor confidence despite price weakness.
Built for the long haul! Consecutive quarters of strong growth landed this Small Cap from Chemicals on our Reliable Performers list. Sustainable gains are clearly ahead!
- - Long-term growth stock
- - Multi-quarter performance
- - Sustainable gains ahead
Mojo Score and Rating Revision
MarketsMOJO has recently downgraded HCL Technologies from a Buy to a Hold rating as of 09 Feb 2026, reflecting the deteriorating technical and price momentum. The current Mojo Score stands at 60.0, indicating a moderate outlook with caution advised. The Market Cap Grade remains at 1, signalling a large-cap status but with limited near-term upside potential given the prevailing technical signals.
This rating adjustment aligns with the technical trend shift from sideways to mildly bearish, signalling that investors should reassess their positions and monitor for confirmation of trend direction before committing additional capital.
Comparative Sector and Industry Context
Operating within the Computers - Software & Consulting sector, HCL Technologies faces competitive pressures and sectoral volatility. The sector has seen mixed performance recently, with some peers maintaining stronger technical momentum. This context emphasises the importance of technical analysis in identifying relative strength and potential outperformers within the industry.
Given the current mildly bearish technical signals and the stock’s underperformance relative to the Sensex, investors may consider diversifying within the sector or exploring stocks with more robust technical profiles.
Holding HCL Technologies Ltd from Computers - Software & Consulting? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Investor Takeaway and Outlook
HCL Technologies’ recent technical parameter changes highlight a shift in momentum that warrants careful attention. The bearish MACD and Bollinger Bands on weekly and monthly charts, combined with a downgrade in Mojo Grade from Buy to Hold, suggest that the stock may face further downside pressure in the near term.
However, mildly bullish daily moving averages and a mildly bullish monthly OBV indicate that short-term rebounds and longer-term accumulation remain possible. Investors should watch for confirmation of trend direction through sustained price action and volume patterns before making decisive moves.
Given the stock’s underperformance relative to the Sensex and the sector’s competitive environment, a cautious approach is advisable. Monitoring technical indicators such as MACD crossovers, RSI extremes, and moving average support levels will be critical in assessing potential entry or exit points.
Long-term investors may still find value in HCL Technologies’ established market position and historical returns, but should be prepared for volatility and consider portfolio diversification to mitigate risk.
Summary of Key Technical Metrics
- MACD: Weekly Bearish, Monthly Mildly Bearish
- RSI: Neutral on Weekly and Monthly
- Bollinger Bands: Bearish on Weekly and Monthly
- Moving Averages: Daily Mildly Bullish
- KST: Mildly Bearish on Weekly and Monthly
- Dow Theory: Mildly Bearish Weekly, No Trend Monthly
- OBV: Mildly Bearish Weekly, Mildly Bullish Monthly
Investors should integrate these technical insights with fundamental analysis and market conditions to formulate a balanced investment strategy.
Limited Period Only. Start at Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Get 71% Off →
