MTECHTIPS MCX Natural Gas range bound; 238.5 crucial level

MTECHTIPS:-MCX Natural Gas range bound; 238.5 crucial level

Natural gas futures for May delivery on India's Multi Commodity Exchange (MCX) is range bound and trading positive against previous close. The level of 238.5 is crucial as far as the commodity is concerned.“For intra-day, crucial resistance for the commodity is seen at 238.5 levels. If the prices sustain above the same then it may trade higher till 244 levels. If it fails to break 238.5 level then futures are expected to move towards south direction,“Investors are advised to be cautious and take position accordingly. Traders with risk appetite may take short position near 237 with stop loss above 241 and may wait for the target at 233 and 230 levels,” he added. MCX natural gas futures for May delivery was seen trading positive by 0.90% at Rs.234.70 per mmBtu as of 03.15 PM IST on Wednesday. On Tuesday, US natural gas prices gained as weather forecast services forecast a normal than hotter temperature. MDA Weather Services in Gaithersburg, forecast hot temperatures across lower 48 states from May 26 through June 4. “The forecasts for the beginning of June calling for some heat helped drive the prices higher,” Gene McGillian, an analyst and broker at Tradition Energy in Stamford, Connecticut said to Bloomberg.