Short-term trading idea: Hindalco Industries

With ongoing bullishness, the stock is quite attractive for the short as well as medium-term.

The stock of Hindalco Industries has surged about 2.5 per cent during Friday’s trading session. With today's strong price action, the stock is within the touching distance from its all-time high of Rs 551.85. Technically, the stock is quite strong as it trades above all its key short-term and long-term moving averages. The RSI is placed in the bullish territory and indicates strong strength in the stock. Moreover, the MACD has given a fresh buy signal above the zero line. The trend indicator ADX is rising swiftly above 23, indicating a strong uptrend in the stock. The bullish point of technical parameters is validated by the above-average volume recorded in recent times. In the first hour of the trade, the stock has recorded the previous day’s volume, which demonstrates strong buying interest among the market participants.  

The stock has performed exceptionally well in the past as it gave about 10 per cent returns in just one month. Moreover, the past year has been phenomenal for the stock as it delivered about 100 per cent returns to its shareholder during this period. The stock has also outperformed the sector and most of its peers.  

With ongoing bullishness, the stock is quite attractive for the short as well as medium-term. It is an ideal candidate for swing trading among positional traders.