- IT stocks faced pressure with increased bearish bets on Infosys, TCS, HCLTech, Wipro, and LTM
- Infosys futures fell 4.32% while open interest surged 117.9%, indicating fresh short selling
- TCS futures dropped 2.41% with open interest up 101.9%, showing traders expect further weakness
IT stocks remained under pressure on Wednesday, with futures data showing traders increasing bearish bets on sector heavyweights such as Infosys, TCS, HCLTech, Wipro and LTM after sharp declines in their share prices.
Infosys futures fell 4.32% while open interest surged 117.9%, one of the largest increases among actively traded contracts. TCS futures dropped 2.41% with open interest rising 101.9%, while LTM slumped 6.11% as open interest jumped 108.9%.
The combination of falling prices and rising open interest typically points to fresh short selling, suggesting traders expect weakness in the sector to continue.
The futures positioning indicates market participants used the decline in IT stocks to add new bearish positions rather than cover existing trades. That trend was visible across large-cap and mid-cap technology companies.
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Bears Crowd Into IT Trades
Among frontline stocks, Infosys recorded the sharpest build-up in positions. Open interest more than doubled even as the stock extended losses, showing traders continued to add exposure on the downside.
TCS witnessed a similar pattern. Open interest rose by more than 100% while futures prices declined, indicating fresh participation from traders betting on further weakness.
LTM saw one of the most aggressive moves in the sector. The stock dropped more than 6% and open interest more than doubled.
HCLTech futures fell 1.17% with open interest increasing 14.4%, while Wipro declined 0.84% and open interest rose 40.4%.
Weakness Extends Beyond Large Caps
The bearish positioning was visible across the broader IT pack.
Mphasis futures fell 3.08% while open interest increased 28%. Coforge dropped 5.62% with open interest rising 8.8%, while Birlasoft fell 4.47% and saw open interest increase 4.8%.
Tech Mahindra futures declined 4.61%, although open interest was broadly unchanged, suggesting a mix of long unwinding and fresh selling.
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