BSE IT index

The BSE IT Index  hit the top end of the rising channel and has slowed down. It is possible that wave 3 ended and wave 4 started. The daily momentum is also in sell mode. AFter results season excitement this is a usual seasonal pattern for the sector. A 4th wave could be down or a long consolidation till prices reach the lower end of the channel. This of course relates to large cap IT stocks and not the Midcap IT stocks that have a different trend of their own.