Nifty IT index

The nifty IT index has made a 2nd top near the January high after the recent rally and this could be an X wave inside a larger correction in wave 2 down. The 5 wave advance ended with a break of the rising trendline from last year's bottom and weekly momentum indicators have been in sell mode for a while. The risk is that we would test the 20-week average again at 24,200, and if that breaks head towards the 40 week average near 21,900.