Natural gas shot more than 3% higher amid forecasts for colder-than-normal temperatures that could drive demand for the fuel and help draw down high gas stockpiles. Expectations for below- normal temperatures over the next few weeks contributed to the buying.

Natural Gas yesterday we have seen that market has moved 3.4%. Market has opened at 269.4 & made a low of 269.4 versus the day high of 280. The total volume for the day was at 18880 lots and the open interest was at 6916. Now support for the Natural Gas is seen at 271 and below could see a test of 264.9. Resistance is now likely to be seen at 281.6, a move above could see prices testing 286.1.

Trading Ideas:

NATURAL GAS TRADING RANGE IS 255-275.

NATURAL GAS ENDED HIGHER ON FORECASTS FOR COLDER-THAN-NORMAL TEMPERATURES

NOW RES IS AT 273.80 ABV THIS A RALLY TILL 276-279 CAN BE SEEN.

EXPECTATIONS FOR BELOW-NORMAL TEMPERATURES OVER NEXT FEW WEEKS CONTRIBUTED TO THE BUYING

BUY NAT GAS JAN @ 270 SL 276.80 TGT 274.50-277.80-280.MCX