Network People Services Technologies Ltd Sees Technical Momentum Shift Amid Bearish Sentiment

Technical Trend Overview

As of 2 Feb 2026, Network People Services Technologies Ltd, a player in the Computers - Software & Consulting sector, is trading at ₹1,199.00, down 1.03% from the previous close of ₹1,211.50. The stock’s 52-week range remains wide, with a high of ₹2,388.00 and a low near ₹1,190.10, underscoring significant volatility over the past year.

The technical trend has shifted from bearish to mildly bearish, indicating a tentative easing of downward pressure but no definitive reversal. This nuanced change suggests that while selling momentum has moderated, the stock remains vulnerable to further declines without stronger bullish confirmation.

MACD and Momentum Indicators

The Moving Average Convergence Divergence (MACD) indicator remains bearish on the weekly timeframe, signalling that the short-term momentum is still tilted towards sellers. The monthly MACD reading is inconclusive, reflecting a lack of clear directional momentum over the longer term. This divergence between weekly and monthly MACD readings highlights the stock’s current technical uncertainty.

Relative Strength Index (RSI) readings provide no clear signal on either weekly or monthly charts, hovering in a neutral zone. This absence of oversold or overbought conditions suggests that the stock is not currently exhibiting extreme price momentum, but rather a consolidation phase that could precede a decisive move.

Bollinger Bands and Price Volatility

Bollinger Bands on the weekly chart remain bearish, indicating that price volatility is skewed towards downside risk. The stock’s recent trading range between ₹1,190.10 and ₹1,219.10 for the day reflects this constrained volatility, with prices testing the lower band more frequently. This pattern often precedes either a breakout or further downside continuation, depending on market catalysts.

Moving Averages and Trend Confirmation

While specific daily moving average values are not detailed, the overall technical summary suggests that moving averages have yet to provide a bullish crossover or support signal. The absence of a positive moving average alignment reinforces the cautious stance among technical analysts.

Additional Technical Signals

Other momentum indicators such as the Know Sure Thing (KST) oscillator and On-Balance Volume (OBV) show no clear trends on weekly or monthly timeframes. The Dow Theory remains bearish on both weekly and monthly charts, confirming the prevailing negative sentiment from a classical technical perspective.

Comparative Performance Versus Sensex

Network People’s recent returns have significantly underperformed the benchmark Sensex index. Over the past week, the stock declined by 7.46%, compared to a modest 1.00% drop in the Sensex. The one-month return shows a sharper contrast, with Network People down 14.42% versus the Sensex’s 4.67% loss. Year-to-date, the stock is down 14.24%, while the Sensex has gained 5.28%. This underperformance extends over longer horizons, with the Sensex delivering 35.67% and 74.40% returns over three and five years respectively, highlighting the stock’s relative weakness within the broader market context.

Mojo Score and Ratings Update

MarketsMOJO’s latest assessment assigns Network People a Mojo Score of 34.0, categorising it as a Sell. This represents an upgrade from the previous Strong Sell rating dated 1 Feb 2026, signalling a slight improvement in the stock’s outlook. The Market Cap Grade remains low at 3, reflecting the company’s relatively modest market capitalisation and liquidity profile.

The upgrade from Strong Sell to Sell suggests that while the stock’s fundamentals and technicals remain weak, some stabilisation is underway. Investors should note, however, that the overall sentiment remains cautious given the persistent bearish technical signals and underwhelming price performance.

Sector and Industry Context

Operating within the Computers - Software & Consulting sector, Network People faces headwinds from both sector-wide pressures and company-specific challenges. The sector has experienced volatility amid shifting technology trends and competitive dynamics, which have weighed on smaller-cap software and consulting firms disproportionately.

Network People’s technical indicators mirror this broader sector weakness, with no clear signs of a sustained recovery. The stock’s inability to reclaim its 52-week high of ₹2,388.00 and its proximity to the 52-week low near ₹1,190.10 underscore the ongoing struggle to regain investor confidence.

Price Momentum and Investor Implications

The mild easing of bearish momentum could offer short-term trading opportunities for nimble investors, particularly if accompanied by volume support and positive fundamental news. However, the lack of strong bullish signals from MACD, RSI, and moving averages suggests that a cautious approach remains warranted.

Investors should closely monitor the stock’s ability to break above key resistance levels near ₹1,220 and watch for any shifts in volume patterns that could confirm a trend reversal. Until then, the technical landscape favours a defensive stance, with risk management paramount given the stock’s recent underperformance and sector challenges.

Conclusion: Technical Outlook Remains Guarded

In summary, Network People Services Technologies Ltd’s recent technical parameter changes reflect a modest improvement from a strongly bearish position to a mildly bearish trend. Key momentum indicators such as the MACD and Bollinger Bands continue to caution investors about the stock’s vulnerability to further downside. The neutral RSI and lack of clear moving average support reinforce the need for vigilance.

Given the stock’s significant underperformance relative to the Sensex and the Computers - Software & Consulting sector, investors should weigh the risks carefully. While the upgrade in Mojo Grade from Strong Sell to Sell indicates some stabilisation, the overall technical and fundamental backdrop suggests that Network People remains a speculative proposition until more convincing signs of recovery emerge.

Market participants are advised to monitor upcoming price action closely, particularly any breakouts above resistance or shifts in volume that could herald a more sustained turnaround.

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