Hindalco Industries has support at Rs 116: Chopra

Hindalco Industries has support at Rs 116, says Manav Chopra, Senior Technical Research Analyst at Nirmal Bang Securities.

Chopra told CNBC-TV18, "One of the most underperforming sectors recently has been steel and stocks like Tata Steel has managed to close decisively above its immediate resistance of Rs 400-425 after couple of month, which is a very bullish signal." He further added, "Hindalco Industries is placed at a very good support of Rs 116; it has already given a good bounce and a good reversal pattern today. I expect the steel sector to do quite good in the near term. Also we have seen a good confirmation from the international markets like Shanghai as it has already breached its medium-term trend channel which confirms a medium-term trend reversal which is quite positive for the metal index." Disclosure: We may have some positions in the stocks we have discussed.