TCS (Tata Consultancy Services) is one of the world’s leading software/IT services providers, and it is based out of India, with offices and worldwide. TCS is known for its project execution capabilities at a large scale, and this helps in winning projects from the world’s largest clients.
The shares of TCS are listed on the two leading stock exchanges of India, NSE and BSE. TCS shares are considered very stable and reliable by investors, both domestic and foreign investors, and almost every correction in TCS share prices is used for buying by new and existing investors. TCS stock had made a big move in 2018 and 2019 has gone in consolidation of that big move. We may see new lifetime highs in TCS stock in the coming months.
TCS stock has bounced from its strong established support at 2000 level. Now, its moving up after a double bottom pattern, which is a reliable pattern. The breakout happened above 2123. The current upside target is 2190-2195, where a strong resistance is in place since October 2019. Traders should take profit around 2190 and wait for the stock to navigate the 2220 level. A clean new long trade will come above 2225 for target 2300. Having established 1980-2000 as a strong support, TCS should make new highs in 2020, and investors can expect 2500 level in 12-24 months. Investors can continue to buy/accumulate TCS at all levels between 2000-2200, because this is a long term investment stock, and we can see 3000+ level in 3-4 years.
Please note that TCS is sensitive to the movements of S&P500 and Nasdaq100 indices, because majority of TCS revenues from come North America and Europe, whose economies and business conditions are reflected in these two large equity indices. With the S&P500 and Nasdaq100 indices making new lifetime highs in December 2019, TCS should remain bullish. Thanks.