Aluminium futures (₹377/kg) have been in an uptrend since the beginning of this year. While it has gained about 27 per cent so far in 2026, for nearly a month, it has been in a sideways trend.

The May futures have largely been oscillating between ₹360 and ₹380 since mid-April. Even as the price has remained flat recently, the broader uptrend is steady. The bulls will hold the advantage as long as the support band of ₹350-360 holds true.

Eventually, aluminium futures will break out of ₹380 and rise quickly to touch ₹400. On other hand, if the contract slips and breaches the support at ₹350, the outlook can turn bearish. In this case, the price can extend the decline to ₹328, a notable support.

But as it stands, aluminium futures maintain the bullish outlook and so, traders can use the breakout or the dip to initiate fresh long positions.

Trade strategy

Buy aluminium futures (May) when the price drops to ₹362. Place stop-loss at ₹345. When the contract rises to ₹385, alter the stop-loss to ₹370. Book profits at ₹395.

But instead of a dip to ₹362, if the contract breaks out of ₹380, go long. Target and stop-loss can be ₹400 and ₹370, respectively. 

Published on May 12, 2026