Max Healthcare – Zigzag Correction Potentially Complete - BUY

Max Healthcare was earlier used as an example of a Wave 1 Extension variation in our educational post dated 7 August 2026. Since then, the stock has undergone a Zigzag correction, the structure of which was explained in our educational post dated 15 August 2026. A Zigzag is a 5-3-5 corrective structure , labelled A-B-C, where Waves A and C develop as 5-wave structures and Wave B as a 3-wave corrective structure. Zigzags generally produce relatively deep corrections. Current wave structure Wave A – A simple 5-wave sequence, completed on 24 July. Wave B – A simple 3-wave corrective sequence, completed on 30 July. Wave C – A larger 5-wave sequence, with its own internal subdivisions. It is highly likely that Wave 5 of C has completed around the 1.414 extension of Wave 1, coinciding with the strong support zone around the Wave 3 area. A few observations strengthen the possibility of completion: Wave C has formed a lower low than Wave A, as required for a Zigzag. The overall correction has retraced more than 61.8% of the preceding impulse. Wave 5 of C has reached an important 1.414 Fibonacci extension level. The completion has occurred near an established price-support zone. If the correction is indeed complete, the stock could resume its larger-degree uptrend. One may consider going long above the current levels, with a stop loss at ₹963, below the 1.618 TBFE level. This analysis is based on the wave structure visible at present; confirmation of the reversal remains important.