

Natural Gas prices witnessed a sharp sell-off during the week, driven by weak demand outlook and persistent supply-side pressure, resulting in heavy downside momentum across global and domestic markets. The decline reflects continued bearish sentiment as prices slipped below key technical supports, keeping traders cautious near lower levels NYMEX Natural Gas prices declined sharply by - 15.3% over the week, marking a fresh swing low at $2.71/MMBtu, before settling at $2.82. The steep fall indicates strong selling pressure across the curve. Immediate support is seen in the $2.70-$2.62 zone, where buying interest may emerge, while resistance remains intact at $3.18-$3.40, which could cap any recovery attempts. Price action below key resistance levels continues to favor a bearish bias in the near term.
MCX Natural Gas mirrored global weakness, falling by -14.55% over the week, with prices registering a low of 272.5 and closing at 280.4. The contract is trading below all major moving averages, including the 20, 50, 100, and 200 DEMA, placed at 314, 317.4, 330.7, and 347, respectively, confirming a strong bearish structure. Open Interest declined by approximately 5,390 lots alongside falling prices, indicating long liquidation rather than aggressive fresh short build-up. From an indicator perspective, RSI stands at 35.09, remaining in the lower momentum zone and signaling weak buying strength, while the RSI average near 40.85 continues to trend downward. The MACD remains in negative territory, reflecting sustained bearish momentum. Volumes stayed elevated during the decline, suggesting active participation during the sell-off and reinforcing the prevailing downtrend as long as prices remain below key averages.
Overall, the trend in Natural Gas remains moderately bearish, with traders advised to adopt a sell-on- rise strategy, while remaining cautious near support zones, where short-term stabilization or technical bounces cannot be ruled out.
| Support 2 | Support 1 | CMP | Resistance 1 | Resistance 2 |
|---|---|---|---|---|
| 260 | 272 | 280.4 | 300 | 316 |
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