MCX Natural Gas MCX Natural Gas fell harshly on Friday as estimates for warm weather conditions shocked traders who were expecting for improved demand heading into what is typically cold season in the United States. It’s usual in this phase of year for Natural Gas inventories to start to pull down as cold weather conditions sets in, but the National Weather Service is seems like above average temperatures in utmost of the nation over the next 6-12 days, and buyers panic that not sufficient of a pull down will be recognized, ongoing the excess and so lesser Natural Gas prices. The EIA has projected that entire natural gas consumption in point of fact cut down 5% likened to the earlier week, with natural gas consumption for power consumption deteriorating even more, by 7%. An export of natural gas to Mexico was in line week over week. But then again the remaining pulling out from working gas for the week completion November 15 - the most recent data presented from the EIA - totaled 94 Bcf, which gets the total functioning natural gas stocks to 3,683 Bcf. This is 16% higher than a year ago.
On the Friday Natural Gas was opened at 177.20 and given a steep fall to 166.70. It fell more than 5.50% to 167.0 level. Last week Natural gas fell more than 12% so far. On the hourly charts, RSI it is in the oversold zone at 7.98 level & As per ADX there is lot more momentum seen which is at 57.48 level. As per Bollinger Band Natural gas is currently trading below lower standard deviation line which can give signal that it will keep trading in the negative zone. Currently support level for the Natural Gas is around 162 level & resistance can be around 171 level.