Elliott Wave view: WIT (WIPRO) should favor flat correction lower
|Wipro Limited (WIT) operates as Information technology, Consulting & Business process services company globally. It operates through three main segments, IT Services, IT Products & India State Run Enterprise Services. The company is based in Bengaluru, India (ADR stock) & trades under $WIT ticker at NYSE. It comes under Technology sector as Information Technology services Industry.
WIT consolidates since October-2010 high to March-2020 low between $5.69 – $2.52 range. But after global sell off ends in early last year during Covid Pandemic, it started the impulse sequence higher & rise almost 4X from the bottom. It proposed ended the sequence at $9.96 high on 10/19/2021 against March-2020 low & as shown in previous blog, that it favors flat correction lower towards $8.23 – $7.23 area.
WIT – Elliott Wave latest daily view
It favored ended ((1)) at $3.20 high on 4/07/2020. It placed ((2)) at $2.79 low on 5/14/2020 as expanded flat retraced 0.618 of previous cycle. The wave ((3)) favored ended at $6.74 high on 2/12/2021 as third wave extension. Wave ((4)) was a shallow correction favored ended at $6.09 low on 4/14/2021. While above there, it placed ((5)) at $ 9.96 high on 10/19/2021 to end the cycle as I red started from March-2020 low.
In short term, below $9.96 high of I red, it favored ended ((A)) at $8.34 low & ((B)) at $9.86 high dated 12/30/2021. Currently, it favors lower in (1) blue & expect one or more lows before start bouncing in (2). The bounce in (2) should ideally fail below $9.86 high & expect two more lows to end ((C)) in impulse between $8.23 – $7.23 area before it resume upside. We like to buy the pullback in equal leg area, when it ends II flat correction for further upside or at least for 3 swings bounce.
WIT – Elliott Wave alternate view
Alternatively in short term, it might be in (3) of ((C)) & favors one more low to end (3). Thereafter it expect a bounce in (4) followed by next leg lower in (5) of ((C)) to end II correction in equal leg area before resume upside.
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