MCX Natural gas February contract yesterday closed at 174.90; changed up by 2.40 Rs..
As you noticed that this counter is moving downside continuously so trader should not trade against the trend in this counter. They can buy in one case with the strict stop loss as the price is trading in the oversold area. For Intraday trader today support area will be at 169 if price sustains below this level next supportive area is 167. This area will remain strong supportive area after the breakout of this level you may see 162-159 these levels. In the upper side resistance area is now seen near 180-182, retest to these levels can’t be ruled out but stability above 182 will result in a retest to 186-192 area.
The trading range for the day is expected among the key support at 167 and resistance at 182.
Recommendation: According to trend its down but this level will be risky in sell side; better sell on the higher level or take a chance on the upper side for small targets.
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