I looked up magic realism. Sometimes these definitions are very ample, and a label as you say, but I found this one helpful: "Matthew Strecher defines magic realism as what happens when a highly detailed, realistic setting is invaded by something too strange to believe'.
I think in Cortázar´s story there are powerful psychological elements. In "La Salud de los Enfermos" the only amazing thing is the capacity off a family for inventing stories to preserve the mother from suffering. It is a story that might have happened.
Why don´t you join us in the reading?