Natural Gas prices to find support in the range of 215 - 216 levels. Trading consistently below 215 levels would lead towards the strong support at 210 levels and then finally towards the major support at 204 levels.
MCX Natural Gas December as seen in the weekly chart above has opened the week at 239 levels. During this week made a high of 246.30 levels. This week prices fell sharply lower towards the weekly low of 219.70 levels, also this is the contract new low and finally closed 6.50% lower at 221.40 levels. Technically, as per the candlestick pattern prices have formed “Bearish candlestick” indicating downside move.
For the next week we expect Natural Gas prices to find support in the range of 215 - 216 levels. Trading consistently below 215 levels would lead towards the strong support at 210 levels and then finally towards the major support at 204 levels.
Resistance is now observed in the range of 226 - 227 levels. Trading consistently above 227 levels would lead towards the strong resistance at 233 levels, and then finally towards the major resistance at 240 levels.
MCX / NYMEX Natural Gas Trading levels for the week
Trend: Sideways
S1 - 215 / $ 3.35 R1 - 227 / $ 3.55
S2 - 210 / $ 3.27 R2 - 233 / $ 3.65
Weekly Recommendation: Neutral