Natural gas futures, which lost nearly 9 per cent last week, has begun the current one on a muted note. The April contract is now trading at ₹268 (per mmBtu).

Although the contract dropped last week, it is sustaining above the support at ₹255. Immediate support below ₹255 is at ₹250. Therefore, the price band of ₹250-255 is a support band. Notably, the price of natural gas futures has not decisively slipped below this level in the past seven months.

A rebound on the back of this, which is likely to occur, can lift natural gas futures to the resistance region between ₹300 and ₹310. A breakout of the latter can take the contract further higher to ₹325.

On the other hand, if natural gas futures breaches the support at ₹250, it can quickly fall to ₹235. A breakdown below ₹235 can turn the medium-term outlook bearish, potentially dragging the contract to ₹200 or lower.

That said, as the support at ₹250 remains valid at the moment, the chances for a recovery are high. Therefore, traders can consider long positions. Below is our recommendation. 

Trade strategy

Buy natural gas futures (April) at ₹268. Target and stop-loss can be ₹300 and ₹248 respectively. After initiating the trade, if the contract rises to ₹290, revise the stop-loss to ₹285.

Published on April 6, 2026