Time to Short the Spark Out of Hindustan Copper

Trade Type:

Short – Breakdown Trade (Technical)

Rationale:

Hindustan Copper (NSE: HINDCOPPER) is exhibiting a classic intraday breakdown below its immediate support level near ₹258, confirmed on the 15-minute chart. The stock attempted to hold above the ₹260 consolidation range but failed to sustain, triggering a bearish setup.

Recent price action indicates distribution after a strong vertical rally, followed by lower highs and a clean support retest. The breakdown is accompanied by declining volume on the retest and loss of buying interest, suggesting increased probability of a short-term retracement.

This short call is purely tactical and is based on weakness in short time frames. There are no fundamental changes to the long-term outlook at this time.

Trade Details:
• Entry: Sell below ₹257.80
• Stop Loss: ₹260.20 (above resistance retest)
• Targets:
• T1: ₹252.50
• T2: ₹248.00
• Extended: ₹245.00 (only if momentum sustains)

Risk Management:
• Risk-to-reward ratio: Approx. 1:2.5 (for first two targets)
• Position sizing should be conservative, considering general market volatility and sectoral strength in metals.

Remarks:

No confirmation from broader commodity cues; this is a structure-led trade. Any intraday bullish reversal or closing back above ₹260 will negate the setup.