AHMEDABAD (Commodity Online): MCX Natural Gas futures dropped by 9.26 percent in yesterday session after a government report said US production hit a record high. Output of Natural Gas rising is rising at a time of weak demand because of mild weather, causing ample supplies to grow further.
Natural Gas prices declination in yesterday session was posting the biggest January loss in three years.
In today's session Natural Gas futures continue to trade on lower side. Currently Natural Gas February contract trading at lower circuit of 4 percent by 17:17 IST after opening at Rs 124.20.
According to Ankush Kumar Jain, Analyst with Commodity Online, Technically, Natural Gas prices trading in oversold zone and pullback cannot be ignored. Natural Gas February contract having a very good support at Rs 116 and Resistance at Rs 122.
Intra-day traders advise to sell Natural Gas February contract below Rs 120 with stop loss of Rs 122 for target near Rs 117,added Jain.
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