Agro Commodity Update (25th-Jan-2018)
Fundamental Aspect:
Soybean future prices continued its uptrend from last couple of days, supported by rising demand from physical market. Futures Prices have touched 18 months high while spot prices have jumped more than 16.7% in last one month. Soybean arrivals during first 20 days in January were noted down 43% to 3 lakh tonnes. Moreover, reports on lower inventories compared to last year also support prices. According to the latest report of SOPA, soybean inventories with farmers, traders and plant owners at the end of December were stood at 6.5 MT, down from 8.2 MT a year ago. India's soymeal exports during Oct-Dec were pegged at 579,000 tonnes, as against 507,000 tonnes a year ago.
Refined Soy Oil traded marginally higher due to fresh buying initiated by market participants tracking good physical demand. According to data released by the Solvent Extractors' Association (SEA), India's edible oil imports fell 10% on year to 10.6 lakh tonnes in December due to a sharp hike in import duty. Soy oil imports were down by 66% in December to 79,250 tonnes compared to 2.32 lt last year. Moreover, government has increased the base import price of crude soy oil by $14 per tonnes to $827 for the second half of Jan. The government revises base import prices every fortnight based on global prices and changes in foreign exchange rate. Prices were last revised on Dec 30.
Technical Aspect
Guar seed (Feb)
Our buy call from 4320—4580 has proven great.
Now what to expect?
Support is at 4450 and Resistance is 4600.
Break and sustain above 4600 will see sharp rally till 4680—4750 mark in near term else could touch its support level of 4450.
Fresh selling can be seen on close below 4450 mark.
Trade with levels only.
Chana (March)
Support is 3650 and Resistance is 3820
Correction likely to due till 3650 where once we can see buying opportunity in it.Its likely to touch 3820 in near term. Break and sustain above 3820 will take it towards 3870—3950++ mark in near term.
Fresh selling only can be seen on close below 3650 mark.
Trade with levels only.
RM Seed (April)
Support seen at 4020 and resistance is at 4150.
Rally likely to continue in near term. Buy and accumulate more on decline which may likely to touch 4150 in near term. Break and sustain above 4150 will take it towards 4230—4300 and then 4360++ mark.
Fresh selling can be initiated on close below 4020 mark.
Trade with levels only.
Soybean
Our buy call from 3300---3580 has proven great.
Now what to expect?
Support seen at 3450 and Resistance is 3600.
We expect positive move likely to continue in near term. Buy and accumulate more on decline and its likely to hit 3600 .Break and sustain above 3600 will see sharp upside rally till 3680—3750++ mark in coming days.
Fresh selling can be seen on close below 3450 mark.
Trade with levels only.
Castor Seed (Feb)
Support at 3950 and Resistance at 4150.
Break and close above 4150 will take it towards 4220—4300 and then 4380++ mark in near term.
Fresh selling can be initiated below 3950 mark on closing basis.
Trade with levels only.
Cotton (Feb)
Support is 20350 and Resistance is 20800.
Looks weak on chart and likely to hit 20350. Break and sustain below 20350 will take it to 20100—19820 mark in near term.
Fresh buying can be seen on close above 20800 mark.
Trade with levels only.
Jeera (March)
Support seen at 16400 and Resistance is at 16800.
Break and sustain below 16400 will see sharp panic till 16250—16100 and then 15750 mark.
Fresh buying only can be initiated above 16800 on closing basis.
Trade with levels only.
Turmeric (Apr)
Support is 7250 while Resistance is 7450.
Decisive move below 7250 will see sharp panic till 7120—7050 mark else could touch its resistance level of 7450.
Fresh buying only can be seen on close above 7450 on closing basis.
Trade with levels only.
CPO (Feb)
Our buy call from 561---573 has proven great.
Now what to expect?
Support seen at 564 while Resistance is 578.
Rally likely to continue. Break and sustain above 578 will take it towards 585—594 and then 608++ mark in near term.
Fresh selling only can be initiated below 564 mark on closing basis.
Trade with levels only
More will update soon !!
