MCX Natural gas daily chart analysis
MCX Natural gas future on last session closed in red at 300. On daily chart, mcx natural gas is in absolute uptrend but now profit booking is going on as still trading in heavy overbought situation. Trading just below its month average and heading towards its 3-month average zone.
From short-term view, mcx natural gas future is bearish and profit booking may go on in next week. On downside, expect some support at 280 and then 262 while on upside expect strong supply from market at 320 and 338. All these levels will remain valid for daily closing basis.
Short-term traders must stay short below 338 for downside targets up to 262.
MCX Natural gas weekly chart analysis
MCX Natural gas future this week closed flat negative. This was second week of profit booking after making clear top at 330. this wee we seen high volatile drama trades for natural gas future so that it made high near 360 while recorded low around 295. Total 65 rupee or almost 20% swing in week in future, which is very much from risk reward perspective.
From medium to long term view, expect some cool off as speculative positions now winding up on profit booking. All major averages are way down around 230-250 range. On downside, expect some support at 280 and then 255 while on upside 330 is top and remain as major resistance. All these levels are important from weekly closing basis. On weekly chart, mcx natural gas indicators are still hovering in overbought zones.