Current trend

Shares of Alcoa Corp., one of the largest aluminum producers, are actively growing for the second month in a row: during this time, they reversed around from the 28.12 mark (Murrey level [1/8]), moved into the positive part of the Murrey trading range and rose above the level of 40.62 (Murrey level [5/8]), leaving the central Murrey channel. This position will allow the quotes to continue growing towards the targets of 43.75 (Murrey level [6/8]), 46.88 (Murrey level [7/8]), 50.00 (Murrey level [8/8]). The key for the "bears" is the 37.50 mark (Murrey level [4/8]), supported by the central line of Bollinger Bands, consolidating below which may cause a resumption of downward dynamics to the levels of 34.38 (Murrey level [3/8]) and 31.25 (Murrey level [2/8]).

Technical indicators confirm the continuation of the uptrend: Bollinger Bands and Stochastic are directed upwards, and MACD is stable in the positive zone.

Support and resistance

Resistance levels: 43.75, 46.88, 50.00.

Support levels: 37.50, 34.38, 31.25.

Trading tips

Long positions can be opened from the 42.70 mark with targets of 46.88, 50.00 and a stop-loss around 40.20. Implementation period: 5–7 days.

Short positions should be opened below the level of 37.50 with targets of 34.38, 31.25 and a stop-loss around 39.50.