Shares of Alcoa Corp., one of the world's largest aluminum producers, are moving within a long-term downtrend.
At the beginning of this month, the price reached its upper limit and the upper level of Murrey's main trading range around 50.00 (Murrey's level [8/8]) but failed to consolidate above and resumed its decline. Currently, the quotes have fallen below the pivot level of 43.75 (Murrey level [6/8]), which gives the prospect of further decline to 37.50 (Murrey level [4/8]) and 34.38 (Murrey level [3/8]). The key "bullish" level is 50.00, and after its breakout, the trading instrument may leave the downward channel and resume growth to 53.12 (Murrey level [+1/8]) and 56.25 (Murrey level [+2/8]).
Technical indicators point to continued decline: Bollinger bands reverse horizontally after growth, Stochastic points downwards, and MACD prepares to move into the negative zone and form a sell signal.
Resistance levels: 50.00, 53.12, 56.25. | Support levels: 37.50, 34.38.