BASF India – 53% Correction Nearing Wave 5 Support

BASF India, a leading chemicals producer, has witnessed a sharp correction from its euphoric highs of ₹8,750. In just a few months, the stock retraced nearly 53%, wiping out more than half its gains.

Wave count

• From the ATH, price unfolded into a 5-wave impulse decline, bottoming near ₹4,065. This completed the Wave A of the zigzag.
  
• The subsequent recovery to ₹5,424 shaped up as a clear A-B-C corrective rally.
  
• Since then, the stock has been carving out another 5-wave decline, now progressing towards its final leg (Wave 5 and eventually Wave C of the zigzag).
  
• The support zone around ₹4,000 remains crucial — a likely area for Wave 5 to bottom.
  

Momentum Check

• RSI sits near 43, showing weakness.
  
• No strong bullish divergence yet, which hints at the possibility of one last dip before a reversal attempt.
  

Outlook
If Wave 5 completes around the ₹4,000 zone, this could complete the ABC zigzag and BASF India could set the stage for a larger rebound sequence into 2026. If price breaks below 4000 convincingly and continues the downtrend, then we are in for a further deep correction.

⚠️ 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.