Life Insurance Corporation of India (LIC) advances in line with a bullish Elliott Wave sequence, supported by strong buying momentum.
After completing a prolonged correction, Life Insurance Corporation of India (BSE: LICI) has resumed its bullish trend. The stock recently completed wave (4) near the 860 INR area, aligning with the blue box buying zone. From this level, buyers stepped in, rejecting further downside and confirming the continuation of the larger impulsive structure.
The Elliott Wave count shows that LICI is progressing in a five-wave sequence from the March low. Waves (1), (2), and (3) are already in place, with wave (4) finishing as a double three corrective pattern labeled W-X-Y. This consolidation respected prior support levels and stayed above the key invalidation zone at 716.05 INR. Holding above this level keeps the bullish bias intact.
The recent rally marks the start of wave (5) within wave ((1)), signalling renewed momentum. The near-term structure suggests more upside potential before a corrective phase begins in wave ((2)). Traders are advised to maintain a bullish stance, avoiding short positions while the price remains aligned with the green Right Side tag.
Conclusion:
The broader cycle that began from the March low remains in play. With wave (5) underway, LICI could aim for new highs before encountering wave ((1)) consolidation. As long as price action respects the invalidation level, the upside remains the dominant scenario. This presents a favorable risk-reward environment for traders following the Elliott Wave framework.
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