Medtecs International (SGX: 546) corrective sell down has met our expected flow based on our report dated on 9^th September 2020. Moving forward, the technical indicate that there is another short term upside to complete the 2^nd sub wave of the whole corrective wave:

1. The 5-sub-wave leading diagonal of the corrective waves has been completed with wave A completed after prices rebound on the support of $0.95-$1.05.
2. Bullish Marobozu candle on the support zone 1 confirms the upside after Monday’s inverted hammer, which is indicative of a bullish reversal formation.
3. Once prices breaks the upper bound of the leading diagonal/wedge, we will then see the stock confirming the bullish trend.

*Timeline of the trade is 3 weeks from the date issued.

*The corrective phase has not ended and the last leg C wave will likely rebound from support zone 2

CHART LEGENDS

Moving average

Red dotted line = 200 periods Moving average

Blue dotted line = 50 periods Moving average