Natural gas shot more than 4% higher amid forecasts for cold weather that could inhibit production and cut into high levels of natural gas in storage. Traders were buying contracts ahead of more cold weather that can boost demand for the fuel to heat homes and businesses and help draw down robust gas stockpiles. Natural Gas yesterday we have seen that market has moved 4.21%. Market has opened at 262.9 & made a low of 262 versus the day high of 275.8. The total volume for the day was at 56258 lots and the open interest was at 7286.Now support for the Natural Gas is seen at 265.80 and below could see a test of 257.00. Resistance is now likely to be seen at 279.60, a move above could see prices testing 284.60.

Trading Ideas:

Natural gas trading range is 260-285.

Natural gas shot more than 4% higher amid forecasts for cold weather that could inhibit production

Now resistance is at 277.80 above this a rally till 280-283 can be seen.

Today natural gas storage: Exp: -147B vs Prev: -124B

BUY NAT.GAS JAN @ 272 SL 269 TGT 274.50-276.80-279.MCX