Aluminium prices have been coming down over the last few days. The Aluminium Futures contract traded on the Multi Commodity Exchange made a high of ₹349 per kg last week and has turned down from there. It is currently trading at ₹340 per kg.OutlookThe fall from the high of ₹349 made last week indicates that the recent rise is just a correction. So, broadly the downtrend that had begun in June still remains intact.Immediate support is at ₹338. Failure to bounce back from this support will increase the downside pressure. In that case, the MCX Aluminium Futures contract can see a sharp fall to ₹328 in a week or two. Such a fall will also keep the broader downtrend intact.To avoid this fall the contract has to sustain above ₹338. If the contract manages to bounce back from around ₹338, then a rise to ₹350 is possible.Our preference is to see the MCX Aluminium contract break ₹338 and fall to ₹328.Trade StrategyTraders can go short on a break below ₹338. Keep the stop-loss at ₹342. Trail the stop-loss down to ₹336 when the contract goes down to ₹333. Revise the stop-loss lower to ₹334 and ₹332 when the price touches ₹332 and ₹330 respectively. Exit the shorts at ₹329.Published on July 28, 2026