Fundamental Aspect
Soybean future turned sharply lower due to weaker demand scenario amid adequate stocks and sufficient supplies in the global market. Moreover, completion from rival cheaper soymeal exporting countries like US and South American nations may keep Indian soymeal exports lower. It may affect demand from oil millers pushing down the prices in near term. According to USDA’s Crop progress report, till 14th May’17 around 32% of the soybean sowing is completed as compared to 34% in previous year same duration and 32% on prior 5-year average. However, its production in the country is kept at the same level at 115 MT (y/y).
Coriander futures traded with a circuit note from last two days as participants offloaded their holdings, amid weak demand in the domestic spot market. Besides, adequate stocks position following increased arrivals from major growing regions also fuelled the downtrend. IMD has forecasted normal to higher monsoon rainfall during this year, which may support to significant rise in its acreage in the upcoming season. Therefore, considering the above factors, selling pressure in coriander futures likely to continue ahead.
Jeera futures traded on negative note for the day. Good supplies across major spot markets amid limited demand weighed down the sentiment of its prices. Additionally, expectations of good export demand for Indian jeera in the international market may limit the loss for jeera futures prices. As per trader source, about 2,450 tonnes of jeera reached in May (1-7) compared to 7,997 in April (1-7). On the export front, its increased by 29.6% to 1,08,513 tonnes in first 11 month of marketing year 2016-17 as per the data release by Dept. of Commerce, GOI. Recently, Gujarat Agriculture Department in its 3rd advance estimates for 2016-17 has revised down the production estimates to 2.12 lakh tonnes, down 4% from its 2nd estimates.
Mentha oil futures traded moderately higher as investors and speculators extended their positions in the agro-commodity amid surge in demand from major consuming industries in the domestic spot market. Further, tight stocks position on restricted supplies from producing regions, too supported mentha oil prices.
Technical Aspect: (June Contract)
Soybean
Our sell call from 2890 to 2818 proven great and trading around 2830
Now what to expect???
Support was 2800 and resistance at 2870
Close below 2800 will take to 2760---2720 mark else it could test its resistance level of 2870 again.
Further upside rally will see only weekly close above 2870 mark
Trade with levels only
Soyref
Support at 615 and Resistance 638---645
We continued bullish from 618 and still intact on the rising track towards 638---645.
Fresh selling can initiate only below 615 only.
Jeera
Support at 17800 and resistance at 18400
Close below 17800 will see further downside panic till 17350---17050 else it could touch its resistance level of 18400 again
Trend- Sideways Lower
RM Seed
Support at 3710 and resistance is 3790---3850
Momentum looks weak and could test its support. If prices gives daily close below 3710 will see a sharp downside panic towards 3665---3630.
Trade in a range with levels only and be cautious at upper levels.
Turmeric
Crucial support at 5550---5400 and resistance is 5900
Looks sideways higher and every decline till 5550 will be buying opportunity.
More power will see above 5900 will take 6100---6200 mark.
Fresh selling only can be seen below 5400 mark
So be careful while trading in Turmeric. Only trade with levels.
Cocudakl (June)
Our sell call from 1950---1911 proven great
Now what to expect???
Support seen at 1900 and resistance is at 1950
Close below 1900 will take to 1860---1825 mark else it may test its resistance of 1950 again
Trend- Sideways Lower
Mentha oil (May)
Support at 935 and resistance at 960
Close above 960 will take to 990---1010 mark else it could test its support level of 935 again.
Close below 935 will see again panic till 920---905 mark
Trade with levels only
CPO (May)
Support seen at 499 and resistance is 512---516+++
Close above 508 will take to 512---516 mark
Fresh selling can initiate only close below 499 mark.
Trade with levels only
Trend – Sideways Higher
More will update soon!!
