Happiest Minds Technologies Ltd.: Poised for Technical Breakout amidst Market Surge

Company Overview

Happiest Minds Technologies Ltd. engages in the provision of information technology (IT) services. It includes agile infrastructure, data management, digital transformation, managed infrastructure and safety, product engineering, IT security and web technologies. It operates through the following segments: Infrastructure Management & Security Services (IMSS), Digital Business Solutions (DBS), and Product Engineering Services (PES). The IMSS segment delivers integrated end-to-end infrastructure and security solutions with specialization in cloud, virtualization and mobility across a multitude of industry verticals and geographies The DBS segment offers enterprise applications and customized solutions that enable organizations to be smarter and accelerate business transformation. The PES segment assists software product companies in building robust products and services that integrate mobile, cloud, and social technologies.

Market Performance and Technical Analysis

In the mid of July 2021, Happiest Minds Technologies Ltd. embarked on a retracement of its previous rally that commenced in October 2020 at the Rs 310 level. This retracement unfolded with lower highs and lower lows, forming a trend continuation price pattern named Up Flag. The stock’s retracement phase found significant support at the 61.8% Fibonacci retracement level, just below the 200-day moving average, establishing a robust foundation for potential upward movements and signaling a promising outlook.

Happiest Minds Technologies Ltd. recently attracted attention by surpassing its recent swing highs and closed just below the breakout trendline, potentially concluding its correction phase and entering a bullish run. Notably, the stock reached Rs 927.45 level in the recent trading session, and if we draw the trendline from last 3 lower highs will get the breakout trendline of mentioned price pattern at Rs 930 level.

Future Outlook

In recent trading sessions, Happiest Minds Technologies Ltd.’s stock witnessed an impressive surge of more than 13%, accompanied by substantial weekly trading volumes exceeding 4 million shares, which are above average. A daily close above the Rs 930 level will confirm the breakout from the identified price pattern, further strengthening the stock’s bullish momentum.

Looking ahead, the current trajectory indicates a potential target of Rs 1211, representing a substantial gain of nearly 30% from the projected breakout point. A confirmed breakout above the Rs 930 level is expected to initiate this upward trajectory, presenting investors with an appealing high-reward opportunity.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.