Natural gas yesterday traded with the negative node and settled -0.16% down at 128 in the line of expectation also seen pressure coming up as forecasts of nonstop mild winter weather in the US dampened sentiment on the heating fuel on US natural gas supplies. Natural gas prices came under selling pressure after the CWG said warmer than normal temperature was forecast for the next 2weeks across most parts of the US Midwest, Northeast and South. For the eastern US as whole, temperatures may be 5 degrees higher than normal. The company expects temperatures in the US  to mostly average above normal for the next 5days. Meanwhile, natural gas traders were looking forward closely watched US EIA’s report on US natural gas stockpiles for the week ended Feb 10 to gauge the strength of demand in the US The data could show a decline of 146bcf, compared to last year's drop of 102bcf and the 5-year average decline for the week of 145bn. With high levels of production continuing across the US, only a prolonged period of frigid weather in the last six weeks of winter is likely to reduce stockpile levels and raise prices. Inventory withdrawals this winter are running nearly 530bcf below average, or about 33%, due to the lack of heating demand this winter. For today's session market is looking to take support at 125.4, a break below could see a test of 122.7 and where as resistance is now likely to be seen at 131.7, a move above could see prices testing 135.3.

Trading Ideas:

Nat.Gas trading range for the day is 122.73-135.33.

Natural gas prices continued downtrend as forecasts of nonstop mild winter weather in the US dampened sentiment.

Natural gas prices came under selling pressure after the Commodity Weather Group said warmer-than-normal temperature.

Winter so far in the US has been the 2nd mildest since 1950, It is running about 13% warmer than the 30-year normal.