MCX Natural Gas March as seen in the weekly chart above has opened the week at 273.30 levels and made a high of 281 levels. As expected prices corrected 3.38% lower from the resistance level with breaching the previous week’s low of 266.60 levels. During this period price has made a low of 261.30 levels, bounced back from these levels and finally closed at 263.10 levels.
For the next week we expect Natural Gas prices to find support in the range of 255 - 250 levels. Trading consistently below 250 levels would lead towards the strong support at 242 levels.
Resistance is now observed in the range of 270 - 275 levels. Trading consistently above 275 levels would lead towards the strong resistance at 285 levels, and then finally towards the Major resistance at 295 levels.
MCX / NYMEX Natural Gas Trading levels for the week
Trend: Down
S1 - 250 / $ 4.10 R1 - 270 / $ 4.50
S2 - 242 / $ 3.90 R2 - 285 / $ 4.80
Weekly Recommendation: Sell MCX Natural Gas March between 270 - 275, SL - 288, Target – 250 / 245.