Thursday, March 24, 2011

MCX Natural Gas Updates

Natural gas MCX Mar contract opened up this morning at 194 vs. previous close of 192.8 made the same level as an intraday low and last traded at 194.8 up by 2 rupees after it made an intraday high at 196.8.

Natural gas future prices have risen by more than thirteen percent in last three weeks. Natural gas future prices are likely to rise further and could test 205-215 levels within next few trading days.

As per EIA report released on Thursday, Natural gas inventory levels reached to1612 billion cubic feet (bcf) for the week ended on 18th March, 2011 decreased by 6 bcf which look supportive for the Natural gas future prices. Positional traders are advised to buy on dips.

Technically, range for Natural gas is from 175-205. 14 days RSI for MCX Natural gas Mar contract is at 69 levels and it shows that natural gas prices are rising steadily and entering in overbought territory. Positional traders can buy MCX Natural Gas Mar contract near 187 with a stop loss of 182 and can wait for targets of 196-204.


Posted By Commodity MCX Tips