Near-term view negative for MCX-Aluminium
The resistance in the 145-147 per kg region for the Aluminium futures contract on the Multi Commodity Exchange (MCX) has held well. The MCX-Aluminium futures contract witnessed a sharp fall last week. The contract made a high of 145.45 per kg last Tuesday and tumbled over 4 per cent to make a low of 138.45 on Monday( commodity tips ).
It has slightly bounced higher from this low and is currently trading at 139.15 per kg.
Immediate outlook is negative. Key resistances are at 141 and 143, which can cap the upside in the coming days. Rallies to these levels can find fresh sellers coming into the market. A fall to 137 or even 135 is likely in the coming days( mcx lead tips ).
Short-term traders can make use of rallies to go short at 141. Stop-loss can be placed at 144 for the target of 135. Revise the stop-loss lower to 139 as soon as the contract moves down to 137.5.
crude oil mcx tips
Whether the contract manages to reverse higher from the 137-135 support zone or not will be key in determining the next trend.
An upward reversal will ease the pressure and trigger a relief rally to 140 and 141 levels again.
But if the MCX-Aluminium contract breaks decisively below 135, it can come under more selling pressure. In such a scenario, the possibility of the contract falling to 131 or 130 will increase.
gold mcx tips