Technical Momentum Shift and Indicator Overview
Hexaware’s technical trend has evolved from mildly bearish to mildly bullish, reflecting a subtle but meaningful change in market sentiment. The Moving Average Convergence Divergence (MACD) indicator presents a mixed picture: the weekly MACD is bullish, suggesting positive momentum over the short term, while the monthly MACD remains mildly bearish, indicating some caution over a longer horizon. This divergence highlights the stock’s current phase of consolidation and potential for a breakout if weekly momentum sustains.
The Relative Strength Index (RSI) on both weekly and monthly charts currently shows no definitive signal, hovering in neutral territory. This suggests that the stock is neither overbought nor oversold, providing room for directional movement without immediate risk of reversal due to extreme RSI levels.
Bollinger Bands reinforce the mildly bullish stance, with weekly bands indicating bullish momentum and monthly bands mildly bullish. The stock price is trading near the upper band on the weekly chart, signalling increased volatility and a potential upward breakout if volume supports the move.
Daily moving averages, however, remain mildly bearish, reflecting short-term price pressures. The stock’s current price of ₹735.60 is slightly above the previous close of ₹729.60, with intraday highs reaching ₹741.95 and lows at ₹719.10. This price action suggests cautious optimism among traders, with the stock attempting to regain upward momentum after recent consolidation.
Supporting Technical Signals and Trend Assessments
The Know Sure Thing (KST) indicator, a momentum oscillator, is bullish on both weekly and monthly timeframes, reinforcing the emerging positive trend. Meanwhile, Dow Theory analysis shows no clear trend on the weekly chart but a mildly bullish trend on the monthly scale, indicating that longer-term market forces may be aligning in favour of Hexaware.
On-Balance Volume (OBV) does not currently indicate a trend on either weekly or monthly charts, suggesting that volume has not yet confirmed the price movements decisively. This absence of volume confirmation warrants caution, as price advances without strong volume support may lack sustainability.
Price Performance Relative to Benchmarks
Examining Hexaware’s returns relative to the Sensex provides additional context. Over the past week, Hexaware declined by 0.52%, outperforming the Sensex’s sharper fall of 1.69%. However, over the last month and year-to-date periods, Hexaware’s returns of -3.49% and -3.79% respectively lag behind the Sensex’s -1.92% and -1.87%. This underperformance in the short term contrasts with the stock’s longer-term strength, as evidenced by a 5-year return of 56.26% compared to the Sensex’s 68.97%, and a robust 10-year return of 223.91% versus the Sensex’s 236.47%.
These figures highlight Hexaware’s resilience and growth potential over extended periods, despite recent short-term volatility and technical fluctuations.
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Mojo Score and Rating Revision
MarketsMOJO’s proprietary scoring system currently assigns Hexaware a Mojo Score of 57.0, categorising the stock with a Hold rating. This represents a downgrade from a previous Buy rating as of 12 January 2026, reflecting the tempered enthusiasm amid mixed technical signals and recent price action. The Market Cap Grade stands at 2, indicating a mid-cap status with moderate liquidity and market presence.
The downgrade underscores the need for investors to exercise caution and monitor technical developments closely before committing to fresh positions. The Hold rating suggests that while the stock is not an immediate sell, it lacks the compelling momentum to warrant aggressive buying at this juncture.
Key Technical Levels and Moving Averages
Hexaware’s 52-week high stands at ₹900.15, while the 52-week low is ₹592.95, placing the current price near the mid-to-upper range of this band. The daily moving averages, which remain mildly bearish, indicate resistance around the ₹740-750 zone, a level the stock has tested intraday but failed to decisively breach.
Investors should watch for a sustained close above this resistance to confirm a bullish breakout. Conversely, a failure to hold above the daily moving averages could signal a return to consolidation or a mild correction.
Outlook and Strategic Considerations
Given the mixed technical signals, Hexaware Technologies Ltd appears poised at a critical juncture. The weekly bullish MACD and KST indicators suggest that momentum is building, but the monthly bearish MACD and lack of volume confirmation via OBV counsel prudence. The neutral RSI readings further imply that the stock has room to move in either direction without immediate risk of exhaustion.
For investors, this environment calls for a balanced approach. Those with a higher risk tolerance may consider accumulating on dips, particularly if the stock maintains support above ₹720 and shows volume-backed advances. More conservative investors might await confirmation of a sustained weekly close above the ₹740 resistance before increasing exposure.
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Comparative Industry and Sector Context
Within the Computers - Software & Consulting sector, Hexaware faces stiff competition from peers exhibiting stronger momentum and more favourable technical profiles. The sector itself has shown resilience amid broader market volatility, with technology stocks benefiting from ongoing digital transformation trends. However, Hexaware’s current technical posture suggests it is lagging slightly behind sector leaders in terms of momentum and price strength.
Investors should weigh Hexaware’s solid long-term fundamentals and historical returns against its current technical caution. The company’s ability to regain bullish momentum and surpass key resistance levels will be critical in determining its near-term trajectory.
Conclusion
Hexaware Technologies Ltd is navigating a transitional phase marked by a shift from mildly bearish to mildly bullish momentum. While weekly technical indicators such as MACD and KST signal improving momentum, monthly indicators and daily moving averages counsel caution. The stock’s recent price action near ₹735, combined with neutral RSI and lack of volume confirmation, suggests a wait-and-watch approach for many investors.
Long-term investors may find comfort in Hexaware’s strong historical returns and sector positioning, but short-term traders should monitor key technical levels closely. A decisive break above ₹740 with volume support could herald a more sustained rally, while failure to do so may prolong consolidation or trigger mild corrections.
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