MCX Copper may trade between 418.7-430.1 levels
Crude Oil market under fresh buying; Support seen at 4742
Short covering seen in MCX Cotton
MCX Cardamom under long liquidation
NCDEX Jeera under short covering; Support seen at 19730
Technically Natural Gas market is under fresh buying as market has witnessed gain in open interest by 6.01% to settled at 3368 while prices up 0.6 rupees.
Now Natural Gas is getting support at 191.5 and below same could see a test of 189.7 levels and resistance is now likely to be seen at 194.3, a move above could see prices testing 195.3.
Natural Gas on MCX settled up 0.31% at 193.20 gained in the line of expectation as the forecast for August calls for an increase in temperatures which would set power burn records for the summer.
Weather systems with showers and thunderstorms will track across the Midwest and east-central US this week with comfortable highs of 70s to lower 80s, including into portions of the southern US for lighter demand.
Hot upper high pressure continues to dominate the western and southern US with highs of 90s to 110°F, hottest from California to Texas for strong regional demand. Late next weekend, hot high pressure will expand across the eastern half of the country with 90s gaining ground for increasing national demand.
Overall, demand will be HIGH to MODERATE. Looking ahead, the most recent six-to 10-day temperature forecast from the National Weather Service calls for slightly warmer-than-average temperatures for most of the country but colder-than-average temperatures for the Northwest and Southeast.
Looking ahead, the most recent six-to 10-day temperature forecast from the National Weather Service calls for slightly warmer-than-average temperatures for most of the country but colder-than-average temperatures for the Northwest and Southeast.
Market sources have expressed how even though the storage deficit seems to be widening, the strong production is relieving any supply concerns that the market will experience coming into the winter months.
Trading Ideas:
–Natural gas trading range for the day is 189.7-195.3.
–Natural gas remained supported amid forecasts for more hot weather and higher demand next week than previously expected.
–Production in the Lower 48 U.S. states averaged a record-high 81.0 billion cubic feet per day over the past 30 days.
–Working gas stocks are on pace to end the refill season lower than the five-year range, net injections into storage are 19% lower than the five-year average rate.
Courtesy: Kedia Commodities
Source: Commodityonline.com
