Resistance could be seen at 108 levels and then next resistance is observed at 112 levels. Price can find support at 105 levels and below that strong support is seen at 103.50 levels.
MUMBAI: As seen above in daily price chart of MCX Aluminium June contract, it was trading in the positive phase from last couple of days. Yesterday we saw that prices have breached the “Trend Line” coupled with the strong “Bullish candlestick” formation and trading above it.
Indicator Analysis
On the oscillator front, 14 day RSI is rising from oversold zone and currently reading at 48 which indicate bullishness and MACD is also trading in positive zone which is also supportive for the bulls.
Key Levels
Resistance could be seen at 108 levels and then next resistance is observed at 112 levels. Price can find support at 105 levels and below that strong support is seen at 103.50 levels.
Looking at bullish price formation coupled with oscillators indicating optimism, we recommend Buy in MCX Aluminium June contract.
Positional Call - Buy MCX Aluminium June between 105.80 - 106.30, SL - 103.20, Target - 110.20 (CMP – 106.25)