Natural gas futures climbed to Rs 224.40 per mmBtu on February 16 after hitting a fresh high of Rs 224.70 for the February series during intraday on the MCX. Natural gas prices had risen 1.81 percent yesterday on the MCX.
Natural gas extended gain after a gap-up open in the afternoon session tracking strong overseas cue.
Natural gas prices surged as severe cold weather across the US increased heating demand and pushed the price above the psychological level of $3/mmBtu.
Kshitij Purohit, Product Manager, Currency & Commodities, CapitalVia Global Research Limited, said: “Natural gas traded positive during the last trading session because the United States has been hit hard by ice storms and extremely cold weather. Natural gas has support at Rs 217 levels. It may come down to Rs 211 levels while resistance is at Rs 227 levels.”
MCX iCOMDEX Natural Gas Index was up 67.35 points or 2.47 percent to 2,797.43.
In the futures market, natural gas for February delivery touched an intraday high of Rs 224.70 and an intraday low of Rs 221.10 per mmBtu on MCX. So far in the current series, natural gas has touched a low of Rs 169 and a high of Rs 224.70.
Natural gas delivery for February gained Rs 5.40, or 2.47 percent to Rs 224.30 per mmBtu at 14:21 hours IST with a business turnover of 17,512 lots.
Natural gas delivery for March soared Rs 3.40, or 1.58 percent to Rs 218.20 per mmBtu with a business volume of 3,555 lots.
The value of February and March’s contracts traded so far is Rs 1,453.28 crore and Rs 62.41 crore, respectively.
Geojit Financial Services said a direct break above Rs 222 is needed to continue rallies. Else, there are chances of corrective selloffs for the day.
Natural gas has witnessed a gap-up opening this week and price may continue to trade firm on the back of increased heating demand, said Kotak Securities.
At 08:54 (GMT), the natural gas price surged 5.98 percent quoting at $3.08 per mmBtu in New York.
For all commodities-related news, click here
Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
