Purchase pure gasoline futures; place stop-loss at ₹160

Pure gasoline futures on the Multi Commodity Alternate (MCX) has been on a decline since mid-June. It began to fall after dealing with a resistance at ₹265. A few weeks again it discovered help at ₹170. This degree has been holding effectively since then.

The value motion exhibits that the downtrend is shedding momentum. If the help at ₹170 holds effectively, we are able to anticipate pure gasoline futures to reverse the development northwards. From the present degree of ₹180, the closest barrier is at ₹195.

A breakout of ₹195 can affirm a double backside chart sample, which may result in bullish development reversal. In such a case, pure gasoline futures can rally to ₹220, a resistance. At this degree, the 50 per cent Fibonacci retracement degree coincides at this barrier.

Alternatively, if the contract slips under ₹170, the downtrend can lengthen to ₹135.

Commerce technique

Purchase pure gasoline futures now at ₹180 and place stop-loss at ₹160. When the contract touches ₹195, revise the stop-loss to ₹180. When the contract rallies to ₹210, tighten the stop-loss to ₹190. Ebook earnings at ₹220.