BSE Healthcare Index
18 Mar 2021 ● 02:22 PM
I have to take one step back again on the healthcare index because of its failure to hold onto the triangle pattern. Today it broke below the lower line and closed below it, amounting to a near-term reversal. With weekly momentum indicators already in sell mode, this could mean that the correction could continue for a while. Adjusting wave counts back to what I was considering two months back, that wave 5 could complete resulting in consolidation for some time. While we have seen consolidation, prices are now breaking lower meaning that multiple retracements are possible. Logically 23.6% near 19,722 or the wave 4 low near 19,518 should be places where the correction completes. In a worst-case consider 38.2% down till 18,120.