MCX Copper under fresh buying; Resistance seen at 462.3
MCX Zinc under fresh buying; Support seen at 196.3
MCX Nickel under fresh buying; Support seen at 951.4
MCX Aluminium likely to trade between 144.3-147.7 levels
MCX Mentha Oil under fresh selling; Resistance seen at 1624.8
Technically Natural Gas market is under fresh buying as market has witnessed gain in open interest by 4.09% to settled at 4578 while prices up 0.5 rupees.
Now MCX Natural Gas is getting support at 201.5 and below same could see a test of 200 level, And resistance is now likely to be seen at 204.5, a move above could see prices testing 206.
Natural Gas on MCX settled up 0.25% at 203 moved higher gained as colder than normal weather that is currently covering the mid-west and east coast is buoying prices. Inventories are near the lower end of the 5-year average range but prices are well below the 5-year average prices.
Withdrawals last week were in line with expectations. Traders await this weeks inventory report scheduled to be released on Thursday. Expectations are for a 140 Bcf draw according to estimize.
According to NatGasWeather for March 5-11, “Frigid cold will cover much of the central, northern and eastern U.S. this week with lows of -20s to 20s, coldest over the northern central US.
It will also be cold over Texas and portions of the southern US with lows of teens to 30s, aiding very strong national demand.
The West remains cool and unsettled as weather systems bring rain and snow. Milder temperatures will return across the southern and eastern US this weekend into early next week with easing demand. Overall, national demand will be high-very high this week, then easing this weekend.
–Natural Gas trading range for the day is 200-206.
–Natural gas edged up as utilities pulled huge amounts of gas out of inventories to heat homes and businesses to deal with a frigid cold snap blanketing.
–Market was more focused on the cold and forecasts for cooler-than-normal weather in mid-March than expectations for temperatures to moderate to near-normal levels.
–Utilities likely withdrew 127 billion cubic feet (bcf) of gas from inventories during the cold week ended March 1.
Courtesy: Kedia Commodities