Agro Commodity Update (17th-Nov-2017)
Fundamental Aspect:
The government removed export curbs on all varieties of pulses to ensure farmers get remunerative prices as domestic rates have crashed below MSP in view of record production. Pulses production in India, the world's largest producer and importer, touched an all-time high of 22.95 million tonnes in the 2016-17 crop year (July-June). Moreover, the country imported about 5 million tonnes pulses last fiscal, leading to huge availability in the domestic market and a price crash. The government is expecting bumper output even this year and it is also sitting on 1.8 million tonnes of buffer stock. The annual domestic demand is noted around 24 million tonnes.
Refined Soy Oil future falls persistently on fresh selling at higher levels as import duty was not hiked. For the second half of November, government raised the base import price of all edible oils, with the steepest increase of $23 per tn in crude soy oil. The government revises base import prices every fortnight, based on global prices and changes in foreign exchange rate. Prices were last revised on Oct 31. As per the latest SEA import report, Soybean oil imports slumped 21% to 220,200 tons in October from a year earlier while imports dropped during the oil year ended Oct. 31 by 22 % to 3.32 mt
MCX CPO continues to trade on negative note reports that palm oil import into the country climb for ninth month on Festive Boost. Moreover, weak prices of edible oils in International markets too pressurize prices. However, the prices are now falling form 10 month high prices as government did not take any decision on increasing import duty on edible oil. Malaysian palm oil futures hit their lowest in nearly a month , tracking weakness in crude oil along with gains in the ringgit also pressurize prices as usually it makes the edible oil more expensive for foreign buyers.
Technical Aspect (Dec)
Turmeric
Support seen at 6750 and Resistance is 7000.
Look positive on chart .Break and sustain above 7000 will take it towards 7120—7190 and then 7250++ mark in near term.
Fresh selling only can be seen only close below 6750 mark.
Trade with levels only.
Jeera
Our buy call from 19300—19760 proven great.
Now what to expect?
Support seen at 19300 and Resistance is at 19750.
Rally likely to continue. Break and sustain above 19750 will take it towards 19980—20250 and then 20500++mark in near term.
Fresh selling can be on close below 19300 mark.
Trade safely with levels only.
Castor Seed
Support at 4320 and Resistance at 4425.
Looks positive on chart and likely to touch 4425. Break and sustain above 4425 will take it to towards 4500 —4560 and then 4620++ mark else could touch its support level of 4320 mark.
Fresh selling can be initiated below 4320 mark on closing basis.
Trade with levels only.
Guar seed
Support is at 3650 and Resistance is 3780.
Any sharp rise will be a selling opportunity in it. It’s likely to touch 3650 in near term. Break and sustain below 3650 will take it towards 3610—3570 and then 3530 mark.
Hurdle will remain at 3780.
Fresh Buying can be seen on close above 3780 mark.
Trade with levels only.
Chana
Support is 4780 and Resistance is 4950.
Trading in a range. Weekly close on either side will set the further trend in it.
Major downtrend will be seen only on close below 4650 mark .
Trade with levels only
RM Seed
Support seen at 3920 and resistance is at 3980--4050.
Likely to touch 3980. Break and sustain above the same will take it towards 4050—4120 and then 4200++ mark in near term.
Fresh selling can be initiated below 3920 mark.
Trade with levels only.
Soybean
Support seen at 2750 and Resistance is 2880
In short term looks weak but, over the medium term we expect a “U” turn in it. Buy and accumulate more on decline. Support will remain at 2750 mark.
Trade with levels only.
Soy Refined
Our sell call from 708—695.6 proven great.
Now what to expect??
Support is 695 and Resistance is 708.
Panic likely to continue. Weekly close below 695 will take it towards 689—685 and the 678 mark in near term.
Fresh buying only can be seen above 715 mark (major Hurdle).
Trade with levels only.
CPO
Our sell call from 559—548.5 proven great.
Now what to expect?
Support seen at 547 while Resistance is 565.
Panic likely to continue. Weekly close below 547 will take it towards 542—538 and then 525 mark in near term.
Fresh buying only can be seen above 565 on closing basis.
Trade with levels only.
More will update soon!!!
