Agro Commodity Update (26th-Oct-2017)
Fundamental Aspect:
Soybean futures traded slightly higher in last couple of days mainly on short covering as market participants are expecting recovery in oilseeds prices after announcement of MSPs. Moreover, higher stocks from last year and new arrivals still weigh down the sentiment of prices. Market In a press release of SOPA, it has estimated 2017-18 (Oct-Sep) soybean output reported at 9.15 MT, down from 11.49 MT a year ago. Moreover, on reports of lower meal exports in September is also worrying farmers. India's soymeal exports during September were at 9,650 tn, down 21% from a year ago. The USDA stated that, soybean harvest was 70% complete, ahead of market forecast of 64%. Chinese imports of soybeans during September hit nearly 8.113mt, a jump of 12.74% over last year.
Mustard futures touched its eight month high on reports of increase in minimum support price by the government. Support price for mustard in 2017-18 rises by 8.1% on year to 4,000 rupees per 100 kg. The prices also supported on expectation of winter demand coupled with higher meal exports during the first 6 months of new financial year and increasing demand for winter crushing. As per the latest report of SEA data, during Nov-Sep import of mustard oil noted sharply down to 2.55 lt as compared with 3.33 lt a year ago.
Jeera recovered slightly on short covering by the market participants. Currently there is subdued demand from the physical players due to weak exports which is keeping prices steady. As per the latest government data, Jeera exports during first four month of FY 2017-18 (Apr-Jul) noted at 49,205 tonnes, down by 11% compared to last year exports volume for the same period. India's jeera exports in Jul marked down at 12% on year to 7,498 tn. As per the trader source, the arrivals have been higher during first 20 days of October at 3,052 tonnes as compared to 1,309 tonnes last year same period.
Technical Aspect (Nov)
Jeera
Support seen at 18850 and Resistance is at 19250.
Rally likely to continue. Break and close above 19250 will take it towards 19400—19580 and then 19800++ mark in near term.
Fresh selling can be initiated below 18800 on closing basis.
Trade safely with levels only.
Turmeric
Our buy call from 7300 to 7600 proven great.
Now what to expect??
Support seen at 7380 and Resistance is 7600.
Holding Long. Break and close above 7600 will take it towards 7750 —7900 and then 8050++ mark in near term else it could touch its support level of 7380.
Trade with levels only.
Castor Seed
Support at 4300 and Resistance at 4450.
Panic likely to continue till 4300. Break and close below 4300 will take it to 4240 —4170 and then 4100 mark else could touch its resistance level of 4450.
Fresh buying can be initiated above 4450 mark.
Trade with levels only.
Guar seed
Our sell call from 3780 to 3613 proven great.
Now what to expect??
Support is at 3600 and Resistance is 3730.
Panic likely to continue .Break and close below 3600 will take it towards 3540 – 3490 and then 3420 mark in near term else it could touch its resistance level of 3730.
Fresh buying can be seen above 3730 on closing basis.
Trade with levels only.
Chana
Our sell call of Chana proven great... Crashed vertically from 5250---5037.
Now what to expect???
Support at 5030. Break and close below 5030 will take to 4960---4910 and then to 4850 mark in near term else sharp recovery from lower level can be seen.
Fresh buying can be seen only close above 5250.
Trade with levels only
RM Seed
Support seen at 3920 and resistance is at 3980.
Looks positive on chart and likely to touch 3980. Break and close above 3980 will take it to 4030---4070 and then 4150++ mark in days to come else could touch its support level of 3920.
Fresh selling can be initiated below 3920.
Trade with levels only.
Soybean
Support seen at 2830 and Resistance is 2900—2960.
If prices unable to breach its immediate support of 2830 then we can see good upside in it till 2950.Break and close above 2900 will take it towards 2960—3020 and then 3100++ mark in near term. Positional, traders can accumulate more on decline in it.
Fresh selling can be initiated below 2830 only.
Trade with levels only.
CPO
Support at 535 and Resistance at 545
Trading in a range. Either side decisively break or close will decide further trend in it.
Trade with levels only
More will update soon!!!
