HINDZINC - Technical Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Technical Rating: 3.4

Let’s unpack the setup for HINDZINC, a high-yielding metal play currently in a tight technical spot

📊 Trend Overview

Current Price (₹437) sits below both 50-DMA (₹447) and 200-DMA (₹457) → suggesting short-term downtrend or ongoing correction.

Significant drop from its high of ₹664 → medium-term structure has turned bearish.

However, price is still above recent support of ₹378, forming a base-building range.

📍 Trend Status: Reversing with consolidation bias

📈 Momentum Indicators

RSI (45.4): Neutral zone, leaning toward weak → indicates momentum loss, but not oversold yet.

MACD (-3.91): Below signal line and in negative territory → suggests bearish crossover, supporting corrective structure.

Volume: Lower than average → hints at lack of conviction, possible wait-and-watch by market participants.

📉 Bollinger Bands Perspective

Price likely near or below mid-band, compressing range → aligns with low volatility consolidation phase.

No visible squeeze, but watch for breakout expansion if volume returns.

📌 Support & Resistance Zones

Zone Type Price Range (₹) Insights

Support 420 – 430 Near recent swing low and psychological support

Resistance 455 – 470 200-DMA and congestion zone from last reversal

Breakout Zone 475+ Confirmation of trend reversal and bullish intent

🎯 Trading Strategy

Entry Zone: ₹425–₹435 (accumulate near support zone with tight stops)

Exit Zone: ₹455–₹470 (take profit ahead of technical ceiling)

Stop Loss: ₹418 (below support, confirms further downside)

🧭 Conclusion

HINDZINC is consolidating in a downward sloping structure with momentum indicators suggesting continued caution.

The high dividend yield (6.63%) may attract income investors, but traders should wait for a volume-backed MACD reversal for directional positioning.

A breakout above ₹470–₹475 will be key to unlock bullish upside toward ₹495–₹515.

Curious to overlay this with global zinc price movements or see how it stacks against Hindalco or Vedanta? It might sharpen your conviction. 🔍📈

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