Monday, February 5, 2018

Agro Commodity Update (5th Feb-2018)

Agro Commodity Update (5th Feb-2018) 

Fundamental Aspect:

Chana futures prices settled the week with higher tone on the back of fresh buying activity noticed by the physical participants on lower levels. Though, Prices have been trading below minimum support prices. As per the latest government sowing data, area under the chana crop across the country was noted up 7.9% on year at 106.2 lakh ha as on last week. Moreover, higher imports during the current financial year too pressurize prices. India imported about 5.84 lakh tonnes of chana during Apr-Oct, up by 430% compared the last year imports. The imports were mostly done from Australia.

Jeera future showed some positive bias last week as fresh buying has been noticed in the market on the lower levels. The new season arrivals are expected to pick up in next 15-20 days. Jeera production may be higher in coming season on reports of higher acreage of cumin in Gujarat during current season. In Gujarat, Jeera acreage is up by 38% to 3.83 lakh hectares as on 15-Jan-18. Last year, it was 2.88 lakh ha at that same time. As per government data, Jeera exports during first 7 month of FY 2017-18 (Apr-Oct) is 88,229 tonnes, up 11% compared to last year exports volume for the same period. India's jeera exports in October increase by 37% on year to 10,402 tn.

Technical Aspect  

Guar seed (Feb)

Image result for guar seed images

Support is at 4600 and Resistance is 4750.

Looks positive on chart and likely to hit 4750. Break and sustain above 4750 will take it towards 4830—4900++ mark. 

Fresh selling only can be seen on close below 4600 marks.

Trade with levels only.

Chana (March)

Image result for chana images

Support is 3750 and Resistance is 3850

Looks weak on chart and likely to hit 3750 mark. Break and close below 3750 will take it to 3670—3600 and then 3550 mark.

Fresh buying only can be seen on close above 3850 mark.

Trade with levels only.

RM Seed (April)

Image result for rm seed  images

Three black crows formation (Bearish) 

Now what to expect?

Support seen at 4050 and resistance is at 4200.

Panic likely to continue till 4050. Break and close below 4050 will take it towards 3970—3900 and then 3840 mark.

Fresh buying can be initiated on close above 4200 mark.

Trade with levels only.


Image result for soybean images

Support seen at 3550 and Resistance is 3850.

Correction due on the chart which may likely to extend till 3550 where, once buying opportunity can be seen. Buy and accumulate more on decline. Break and Close above 3800 will start a new era of bull run in it.

Fresh selling can be seen on close below 3550 mark.

Trade with levels only.

Castor Seed (Feb)

Image result for castor seed images

Support at 4200 and Resistance at 4350

Looks weak on chart. Break and close below 4200 will take it to 4120—4050 and then 3900 mark .

Fresh buying can be seen on close above 4350 mark .

Trade with levels only.

Cotton (Feb)

Image result for cotton seed images

Support is 19850 and Resistance is 20450.

If prices unable to breach its key resistance of 20450 then we can expect a vertical crash in it. Break and sustain below 19850 will take it to 19550—19300 mark in near term.

Fresh buying can be seen on close above 20450 mark.

Trade with levels only.

Jeera (March)

Image result for jeera images

Support seen at 16300 and Resistance is at 16750.

Buy and accumulate. Break and sustain above 16700 will see sharp upside rally towards 16980—17250 and then 17600++ mark.

Fresh selling only can be seen below 16300 on closing basis.

Trade with levels only.

Turmeric (Apr)

Image result for turmeric images

Support is 7100 while Resistance is 7300.

Panic likely to continue. Break and sustain below 7100 will take it towards 6950—6800  and then 6550 mark in near term.

Fresh buying only can be seen on close above 7300.

Trade with levels only.

CPO (Feb)

Support seen at 562 while Resistance is 575.

Looks positive on chart. Break and sustain above 575 will take it towards 584—592 mark in near term.

Fresh selling only can be initiated below 562 mark on closing basis.

Trade with levels only

More Will Update Soon!!