Manaksia Aluminium Company Ltd Hits Lower Circuit Amid Heavy Selling Pressure

Intraday Price Action and Circuit Breaker Trigger

On 22 Jan 2026, Manaksia Aluminium Company Ltd opened sharply lower at ₹55.64, down 4.99% from its previous close, immediately triggering the lower circuit limit for the day. The stock remained locked at this price throughout the session, with no trades occurring above or below this band. The maximum permissible price band for the day was set at 5%, and the stock’s inability to recover from this level highlights the severity of selling pressure.

The intraday high and low were identical at ₹55.64, indicating a complete absence of upward price movement and a lack of buyer interest willing to absorb the selling volume. Total traded volume was a mere 0.07982 lakh shares, translating to a turnover of ₹0.044 crore, reflecting extremely thin liquidity and subdued investor participation.

Sector and Market Context

The Non-Ferrous Metals sector, in which Manaksia Aluminium operates, also faced headwinds, declining by 3.01% on the same day. However, Manaksia Aluminium underperformed even this weakened sector by 1.94 percentage points. In contrast, the broader Sensex index closed positively, gaining 0.96%, underscoring that the stock’s decline was largely stock-specific rather than a reflection of overall market weakness.

Over the last three trading sessions, the stock has lost 14.24% in value, signalling sustained bearish sentiment. This consecutive fall has eroded investor confidence, likely exacerbating the panic selling observed on 22 Jan.

Investor Participation and Delivery Volumes

One of the most telling indicators of the stock’s current distress is the sharp decline in delivery volumes. On 21 Jan 2026, delivery volume stood at just 3,210 shares, a staggering 99.71% drop compared to the five-day average delivery volume. This suggests that investors are increasingly reluctant to hold the stock overnight, preferring to exit positions quickly amid uncertainty.

Such a precipitous fall in delivery volumes often signals panic selling, where holders rush to liquidate positions, further pressuring the stock price downward. The lack of fresh buyers to absorb this supply has resulted in the stock hitting its lower circuit limit.

Technical Positioning and Moving Averages

From a technical standpoint, Manaksia Aluminium’s last traded price of ₹55.64 remains above its 20-day, 50-day, 100-day, and 200-day moving averages, indicating that the longer-term trend has not yet turned decisively bearish. However, the stock is trading below its 5-day moving average, reflecting short-term weakness and recent selling momentum.

This divergence between short-term and long-term moving averages suggests that while the stock may still have underlying support, immediate sentiment is negative, and a sustained recovery will require renewed buying interest.

Fundamental and Market Capitalisation Overview

Manaksia Aluminium Company Ltd is classified as a micro-cap stock with a market capitalisation of approximately ₹385 crore. The company operates within the Non-Ferrous Metals industry, a sector known for its cyclical nature and sensitivity to global commodity prices and demand fluctuations.

Its current Mojo Score stands at 51.0, placing it in the ‘Hold’ category, an upgrade from its previous ‘Sell’ rating as of 6 Jan 2026. This suggests that while the stock has shown some improvement in fundamentals or market positioning, it remains a cautious proposition for investors.

The company’s Market Cap Grade is 4, indicating a relatively small size and potentially higher volatility compared to larger peers. This micro-cap status often results in lower liquidity and greater susceptibility to sharp price movements, as evidenced by the recent circuit hit.

Liquidity and Trading Considerations

Despite the recent turmoil, Manaksia Aluminium remains sufficiently liquid for moderate trade sizes. Based on 2% of the five-day average traded value, the stock can accommodate trades worth up to ₹0.31 crore without significant market impact. However, the extremely low traded volume on 22 Jan highlights the current lack of active participation.

Investors should be mindful of the stock’s volatility and the risk of further downside, especially given the ongoing selling pressure and the stock’s failure to attract buyers at higher levels.

Investor Outlook and Risk Factors

The recent lower circuit hit and sustained decline over three sessions reflect heightened investor anxiety and a lack of confidence in the stock’s near-term prospects. Panic selling has been a dominant theme, driven by concerns over sectoral headwinds and company-specific factors.

While the stock’s longer-term moving averages suggest some underlying support, the immediate technical and volume indicators warn of continued volatility. Investors should carefully assess their risk tolerance and consider the stock’s micro-cap nature, which can amplify price swings.

Given the current market dynamics, cautious investors may prefer to monitor the stock for signs of stabilisation or improved fundamentals before committing fresh capital. Those holding existing positions should evaluate stop-loss strategies to mitigate further downside risk.

Conclusion

Manaksia Aluminium Company Ltd’s plunge to its lower circuit price limit on 22 Jan 2026 underscores the intense selling pressure and fragile investor sentiment surrounding this micro-cap Non-Ferrous Metals stock. The 4.99% single-day loss, combined with three consecutive days of declines totalling over 14%, highlights the challenges the company faces amid sectoral weakness and subdued market participation.

While the stock’s upgraded Mojo Grade to ‘Hold’ signals some improvement, the current technical and liquidity conditions suggest that investors should approach with caution. The lack of buyer interest at the lower circuit price and the sharp fall in delivery volumes point to ongoing panic selling and unfilled supply, factors that could prolong the stock’s downward trajectory.

Market participants are advised to keep a close watch on sector trends, company updates, and volume patterns before making investment decisions in Manaksia Aluminium Company Ltd.

Unlock special upgrade rates for a limited period. Start Saving Now →