The Relative Strength Index (RSI) is a technical indicator used in financial markets to measure the speed and change of price movements. It ranges from 0 to 100 and is typically used to assess whether a stock or asset is overbought or oversold.
An RSI value above 70 indicates that the asset might be overbought, suggesting it could be overvalued and might experience a price correction. Conversely, an RSI below 30 indicates that the asset might be oversold, potentially signaling that it is undervalued and could experience a price rebound.
The stocks to watch out for are listed below
Tata Consultancy Services Ltd
TCS is a global leader in IT services, consulting, and business solutions. The company offers a wide range of services in industries like banking, insurance, telecommunications, and retail, known for its innovation, technology solutions, and global presence.
With a market capitalization of Rs. 12,87,695.44 crores on Tuesday, the stock closed at Rs. 3,575.30, with an RSI of 29.80, indicating that it is in the oversold zone, offering the potential for an upside bounce.
Infosys Limited
Infosys is a multinational IT services and consulting company that provides end-to-end business solutions to clients worldwide. The company specializes in digital transformation, cloud services, and IT consulting, catering to industries like financial services, manufacturing, and healthcare.
With a market capitalization of Rs. 6,86,779.11 crores on Tuesday, the stock closed at Rs. 1661.60, with an RSI of 29.85, indicating that it is in the oversold zone, offering the potential for an upside bounce.
Tech Mahindra Limited
Tech Mahindra is a leading global IT services and consulting firm that provides a range of services, including digital transformation, IT infrastructure, and cybersecurity. The company serves clients in sectors such as telecommunications, healthcare, and manufacturing, with a strong focus on innovation.
With a market capitalization of Rs. 1,42,922.09 crores on Tuesday, the stock is currently trading at Rs. 1,479.20, with an RSI of 28.85, indicating that it is in the oversold zone, offering the potential for an upside bounce.
LTIMindtree Ltd
LTIMindtree, formed from the merger of L&T Infotech (LTI) and Mindtree, is a global IT services and consulting company. It offers services such as digital transformation, cloud computing, data analytics, and IT infrastructure solutions. LTIMindtree serves various industries, including banking, healthcare, retail, and manufacturing, and more.
With a market capitalization of Rs. 1,37,115.02 crores on Tuesday, the stock is currently trading at Rs. 5,654.45, with an RSI of 29.42, indicating that it is in the oversold zone, offering the potential for an upside bounce.
Written by Sridhar J
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