Fundamental Aspect
India's Kharif sowing acreage up by 10.44%...
Ministry of Agriculture reported, India’s kharif sowing acreage reached 6.916 million hectares as on May 26, which increased 10.44% from 6.262 million hectares during the same period last year. Rice acreage in the country was expected to increase by about 0.11% to 0.175 million hectares, when compared to 0.176 million hectares during last year, while pulses acreage increased to about 0.112 million hectares from 71000 hectares during 2016-17 period. Acreage under Cereals were estimated at 54000 hectares, which is 147% higher than last year's 22000 hectares. Oilseed acreage increased to about 0.127 million hectares, an increase of about three times when compared to 48000 hectares. Cotton acreage in the country increased by 27.21% to 1.124 million hectares when compared to 0.884 million hectares during a year ago period. Sugarcane acreage in the country increased to 4.653 million hectares against 4.387 million hectares, an increase of 6%.
Soybean futures edged up as speculators created fresh positions at prevailing levels amid a firm trend in the overseas market. However, lower demand in the spot market and good progress of new season crop capped some gains. Reports showed that India soybean sowing for the current kharif reached 23,000 ha so far vs. 20,000 ha year ago. As per the trader source, arrivals of soybean during the second half of May increase to 1.28 lt as compared with the first half of reading. India's oilseeds industry body has cut its soymeal export forecast by 25% from its previous outlook on appreciating rupee and a correction in global prices make Indian supplies uncompetitive. IGC also raised its soybean crop forecast for 2016-17 by 5 MT to a record of 350 MT due to better yields in South America. China's soybean importers cancel cargoes mainly ordered from suppliers in Brazil as they incur losses in crushing.
Coriander futures is expected to trade further lower as prices are continuously slumping in the major markets of Rajasthan and Gujarat due to lack of demand. Coriander seed production this season 2016-17 dropped to 90 lakh bags (40kg each) against 100 lakh bags a year ago, but its huge carryover stocks have created pressure on the counter.
Cardamom futures traded higher as investors extended their bets amid surge in demand in the domestic spot market. Further, tight supplies on restricted arrivals from the major cardamom producing regions too added support to cardamom’s uptrend. Good pre monsoon have boosted the expectations of higher crop in the upcoming season which may weigh down the prices in near term.
Technical Aspect: (June Contract)
Soybean
Support is 2650 and resistance is at 2750
Trade with levels only and wait for confirmation
Soyaref
Our buy call from 619 proven great and touched a fresh high of 623.55 yesterday.
Now what to expect???
Support is 613 and resistance is 625
Trade with levels only and wait for confirmation
Dhaniya
Support at 4600 and Resistance is 4900
Weekly close below 4600 will take it to 4350—4200 else could touch its resistance level of 4900 again
Trade with levels only.
Jeera
Support is 17500 and resistance is at 18050.
Looks weak and close below 17500 will take it to 17250---17100 and then to 16800 mark in days to come else could touch its resistance level of 18050 again.
Fresh buying can be seen above 18050.
RM Seed
Support at 3450 and Resistance 3530
Looks positive and close above 3530 will take to 3580---3650 mark else could touch its support level of 3450 again
Trade with levels only.
Turmeric
Support is 5250 and resistance is at 5400.
Trade in a range with levels only and wait for confirmation
Cocudakl
Support 1740 and resistance at 1825.
Looks weak and close below 1740 will take it to 1700---1660 mark else could touch its resistance level of 1825 again.
Fresh buying can be initiated only above 1825 mark.
Trade with levels only.
Mentha oil (June)
Support at 915 and resistance at 945
Trading in a range and either side breakout will confirm the further trend
Trade with levels only
CPO (June)
Support at 492 and Resistance at 500
Close below 492 will take to 488---485 and then to 476 mark else it could test it's resistance level of 500 again.
Fresh buying can be initiated above 500
Castor Seed
Support at 4180 and Resistance at 4320---4380
Trade in a range with levels and wait for confirmation
More will update soon!!
