Since beginning of September, the November futures agreement of natural gas in Multi Commodity Exchange (MCX) has been treading in a vast range between ₹225 and ₹245. Last week, the agreement broke out of ₹245 but retracted lower back below that stage, making it a fake breakout. So, the bulls appear to be struggling to set up an uptrend.
But there are few tremendous signs and symptoms for the contract. The fee is above the 21-day shifting common and the each day relative strength index is above the midpoint stage of 50. Also, the shifting common convergence divergence indicator in the day by day chart lies within the wonderful territory.
On the lower back of this, if the contract rallies and pass over the resistance of ₹245, it may strengthen to ₹253. Above this stage, it may likely recognize to ₹260. But if the settlement breaks below ₹235, it will most in all likelihood drop to ₹225.
Though the agreement is buying and selling with a bullish bias, it has a sizeable resistance at ₹245. Hence, investors can cross long above ₹245 with stop-loss at ₹230.
Bazaarinformation team has many years of experience, covering the physical and future commodities markets with prominent commodity & equity trading advising which shines further with extensive network to get research from ground levels to generate proper reporting and movements. We are able to get evens out of odds in volatile markets and stockings. ...
