User: NaturalGas_Specialist : Natural gas trading strategy - need suggestions

algotrader

I have been trading natural gas on MCX for 6 months now. Very volatile commodity and I have made losses more than profits. What stratergy do you experienced traders use for natural gas? Technical analysis works or fundamental is more important?

algotrader

Reply by: CommodityVeteran_Delhi
Natural gas is one of the most difficult commodities to trade bro. It depends on weather, storage data, production numbers everything. I suggest follow EIA reports from US every thursday, that gives you idea about demand and supply. Also watch weather forecasts for US and Europe. Technical analysis alone wont work in nat gas.

algotrader

Reply by: Futures_Trader_Ahm
I agree with above comment. Also natural gas has seasonality - winter months usually see higher prices because of heating demand. But last 2 years pattern has changed because of warm winters. So be careful with seasonal trades also. Best is to trade only when you have strong view backed by data.