NG: Bullish developments
As can be seen from the chart, MCX natural gas was moving up in a channelised manner. It entered the correction mode. On the way down, it broke the lower channel line. However, below the channel line, it formed an ending diagonal and broke out on the upside. It has crossed the key daily moving averages as well as a falling trendline. In the last session, natural gas formed a bullish outside bar. The daily momentum indicator is in a bullish mode. Thus, unless the 20-daily moving average (182.8) is broken, the gas is expected to head up till 199.5–207.