Infosys ADR stock: After rising over 56% during Friday’s session in the US stock market, India’s second-largest IT services company, Infosys’ ADR (American Depository Receipt) shares finally settled down 5.68% higher at $20.27 apiece.
The MarketWatch data show that trading volumes jumped to more than 3,500,000 as the Infosys ADR stock price reached its intraday high of $30 per share on Friday. The average level of the trading volumes before the surge was around 300,000, as of Friday’s market session. The Infosys ADR price reached an intraday high during the early trading session on Friday. However, the shares are likely to have surged without the presence of a specific trigger, driven by technicals along with high trading volumes on Wall Street.
According to stock market experts, there was no specific trigger that could have helped the Infosys ADR share price to sustain at higher levels. However, this rise is expected to fuel sentiments of Dalal Street bulls. They predicted a gap-up opening for Infosys shares on the BSE and the NSE when the Indian stock market resumes trading on Monday.
Why did the Infosys ADR price skyrocket on Friday?
Highlighting the reason for the rally in Infosys ADR share price on Friday, Avinash Gorakshkar, a SEBI-registered fundamental equity analyst, said, “Infosys ADR’s rally on Friday comes amid a broader US-listed technology stocks rebound, gaining momentum from investors as they head towards the final weeks of the year-end. Therefore, there was no fundamental development that fueled buying in Infosys ADR shares on the NYSE. Looking at the Friday session on the NYSE, the Infosys ADR price surged to its 52-week high of $30 per share, but it finally ended at $20.27 per share, just 5.68% higher than its Thursday’s close price. So, it was more technical that fueled Infosys ADR stock.”
Highlighting the technical reason that fueled the NYSE-listed Infosys ADR price on Friday, Gorakshkar said, “A short squeeze drove the sudden spike, a technical market event that forced traders betting against the stock to buy shares, pushing prices sharply higher rapidly.”
On what does it signal for the Infosys shares, when trading at the NSE and BSE will begin on Monday, Gorakshkar said, “The sentiment is definitely up, and bulls are expected to take advantage of this positive sentiment. A gap-up opening for Infosys shares on Dalal Street is highly likely. However, the Indian National Rupee (INR), which is gaining ground against the US Dollar after the Bank of Japan’s rate hike decision, is expected to limit the Infosys share price rally on Dalal Street. ”
Infosys ADR share price outlook
Expecting the Infosys ADR price to showcase such a surge for a few more sessions, Anuj Gupta, Director at Ya Wealth, said, “INFY ADR increased sharply yesterday by 5.42% at $20.22 levels; however, during the session, it tested the new high of $30. Over the last three days, we have noticed a bullish breakout with increased volumes in the INFY ADR. Prices are expected to rise further due to this bullish breakout, accompanied by increased volumes. It has strong support at $17 and then $15, and resistance at $25 and $30 levels. As per the technical structure, it may test $25 to $30 levels again in the coming time.”
Infosys share price outlook on BSE, NSE
Asked about the outlook of Infosys shares when it resumes trade on the BSE and the NSE, Anuj Gupta said, “Infosys shares are looking in a positive trend over the last couple of days. In the week, it increased by 2.53%, and from December 2025 to date, it has increased by 5.04%, closing at the ₹1638 level. This is the third consecutive month where it has increased. It formed a higher top and a higher bottom formation. Support is seen at the ₹1,550 levels and then at the ₹1,470 levels, with resistance at the ₹1,680 and ₹1,750 levels for the short term. Trading in a bullish trend and expecting to rise further.”
Short Squeeze factor
A short squeeze happens when a stock that many investors have bet against (by short selling) suddenly rises in price instead of falling. This forces those investors to buy back the stock quickly to limit their losses, which in turn pushes the stock price up even more.
Step-by-step guide on short squeeze
1] Short selling: An investor borrows shares and sells them, expecting the price to drop so they can buy back cheaper later and pocket the difference.
2] Price rises instead: If the stock price goes up, short sellers face losses.
3] Forced buying: Brokers may issue margin calls, forcing short sellers to buy back the shares immediately.
4] Feedback loop: This rush to buy pushes the price even higher, “squeezing” more short sellers out.
5] Extreme volatility: A short squeeze often causes rapid, extreme volatility in a stock, sometimes triggering trading halts on exchanges to stabilise the market.