Tech Mahindra: Structure Still Favors One More Upside Leg

Price action from the ₹1383.60 low has unfolded as a clean impulsive sequence, with Waves (1), (2), and a strong Wave (3) already in place. The advance was supported by clear volume expansion, validating the impulsive nature of the move. Momentum also peaked during Wave (3), with RSI reaching overbought levels — a classic third-wave signature.

Following the Wave (3) high near ₹1595.70, price has transitioned into a corrective phase. The decline is best interpreted as Wave (4) in progress, with only the (a),(b) legs formed so far. The structure continues to respect the typical Fibonacci retracement zone, keeping the broader bullish setup intact. A final (c) leg is still expected before Wave (4) can be considered complete.

Importantly, the higher-degree context does not materially alter the forward expectation. Whether the move from ₹1383.60 marks the start of a fresh impulsive advance, or represents the internal Wave C of a larger corrective pattern unfolding as a five-wave structure, the current setup continues to favor one more upside leg — Wave (5).

That said, patience remains key. Focus remains on identifying a proper Wave (4) termination before anticipating continuation higher.

Disclaimer: This analysis is for educational purposes only and does not constitute investment advice. Please do your own research (DYOR) before making any trading decisions.