Gas futures (November agreement) on the Multi Product Exchange (MCX) has actually been on a sharp decrease considering that the start of this month. It dealt with resistance at 300 and started to fall.
On Tuesday, the agreement closed at 262.5, slipping listed below the assistance at 270. This has actually opened the space for additional fall. The nearby assistance can be seen at 245 and 240. If there is healing from the existing level, it will probably be topped at either 270 or 275.
So, the short-term pattern appears weak, and traders can think about fresh brief positions.
Trade method.
Brief gas futures at the existing level of 263. Include shorts in case the rate goes up to 270. Location preliminary stop-loss at 278.
When the agreement falls listed below 255, tighten up the stop-loss to 262. Schedule earnings at 246. We anticipate gas futures to rebound from the rate band of 240-245.
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