Natural gas futures (₹264/mmBtu) has been in a downtrend over the last month. But it has opened this week on the front foot as it has rallied over 3 per cent so far.
However, there are resistance levels ahead at ₹266 and ₹270, its 21-day moving average. Only a rally past these levels can turn the near-term outlook positive.
A breakout of ₹270 can open the door for a rally to ₹290. Note that there is a minor hurdle at ₹275.
On the other hand, if natural gas futures falls off the resistance at either ₹266 or ₹270, it can retest the low of ₹250 or even extend the downswing to ₹242.
Note that the price range between ₹230 and ₹250 is a strong support band as per the monthly chart. So, if there is a decline, natural gas futures can change direction to up anywhere between these two levels.
Overall, as it stands, while the trend has been bearish recently, there is a chance for a bullish reversal and that hinges on the key level at ₹270.
Trade strategy
Stay out for now. Buy natural gas futures (Aug) if it breaks out of ₹270. Target and stop-loss can be ₹290 and ₹262 respectively.
Published on August 10, 2026
