Newgen Software Shares Jump 10% After Breakout: SEBI RA Mayank Singh Chandel Targets ₹1,700

Technical indicators for Newgen Software suggest a strong bullish move, according to SEBI-registered analyst Mayank Singh Chandel.

As per Chandel's analysis, the stock price experienced a sharp rebound from its historical long-term support interval of ₹684 to ₹870, which has consistently maintained its position, demonstrating strong demand at these levels.

The stock analysis follows Newgen's announcement of securing an international order valued at $1.632 million.

Its Saudi Arabia unit signed a contract to deliver software licenses, related services, and annual technical support, which is expected to be completed within one year.

At the time of writing, Newgen Software shares were trading at ₹1,259.65, up ₹112.00 or 9.76%.

For several weeks before its breakout, the stock maintained a steady pattern below the critical resistance threshold between ₹1,166 and ₹1,189.

Chandel said Newgen achieved a decisive breakthrough above resistance levels today with substantial volume and momentum, which indicates stronger buying interest and an optimistic shift in market sentiment. 

The stock Newgen stands above its 200-day exponential moving average (EMA), which Chandel identifies as a key technical indicator that confirms the existing bullish trend.

Chandel pointed out that closing today's trading candle near its high point above ₹1,270 would provide strong entry confirmation for buying. 

To manage risk effectively, Chandel advises setting a stop-loss at ₹1,172. 

The analyst's initial price objective stands at ₹1,420, while the extended target reaches ₹1,700, demonstrating substantial upside potential.

He believes that if bulls continue to dominate and the stock price stays above these levels, this breakout may signal the beginning of a strong upward trajectory for Newgen Software.

On Stocktwits, retail sentiment was ‘bullish’ amid ‘normal’ message volume.

The stock has declined nearly 26% so far in 2025.

Correction: A previous version of this story incorrectly stated the order size as $1,632 million instead of $1.632 million. The error has been corrected. 

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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