Consider longs on natural gas by admin- Friday, July 22nd, 2022 07:11:15 AM
In the fast term, MCX futures might hit ₹seven hundred
The natural gasoline futures (non-stop settlement) on the MCX (Multi Commodity Exchange), which hit a high of ₹749.6 in early June, reversed the trend and witnessed a pointy sell-off. In July first week, it marked a 3-month low of ₹425, thereby dropping a huge 43 consistent with cent from its height.
However, the contract recovered, and on Wednesday this week, it closed above the hurdle at ₹six hundred, commencing the door for similarly upside. From the current level of ₹619, it’d dip to ₹600, but it is able to rally to ₹700. The upside might be prolonged to ₹740.
Considering these factors, traders can move long on the cutting-edge level of ₹619 and add longs if the fee dips to ₹six hundred. Place the prevent-loss at ₹565. When the settlement hits ₹seven-hundred, liquidate 60 in keeping with cent of the total longs you keep and tighten the forestall-loss to ₹650. Exit the final longs while the contract rallies to ₹740. Note that that is a quick-term change.
The price band of ₹740-750 has enormous resistance and correction is possible from that stage. So, further trades may be decided based totally on how the contract reacts to this resistance band.