Agri Commodity Update (20th-Dec-2017)
Fundamental Aspect:
Soybean prices settled the day higher tracking firm demand from the physical market as supplies have been diminishing at lower prices. The arrivals have been lower in first half of December as compared to the previous 15 days. As per the trader source, about 3.72 lakh tonnes of soybean arrived in physical market in December against close to 5 last year for the same time period. Moreover, in the second half of October about 7.41 lakh tonnes arrived in the market.
SOPA increased its meal exports estimates for 2017-18 as government has increased export incentives by 2% to for all meals. Soymeal exports from the country in 2017-18 (Oct-Sep) are seen rising to around 20 lakh tn from previous estimate of 15 lakh tn due to a recent rise in export incentives.
Chana future prices settled higher on fresh buying from lower level by the market participants as prices have touched one year low during the week. Reports of higher stocks and improved sowing progress have pressurized prices during the last two months.
India imported about 4.78 lakh tonnes of chana during Apr-Sep, up by 430% compared the last year imports. As per government sowing data, area under the chana crop across the country was up 13.7% on year at 96.23 lakh ha as on last week. Area under Chana exceeds 90 lakh ha for the second consecutive year. Last year area was close to 99 lakh ha. MP, Maharashtra, Rajasthan and Karnataka exceed normal sowing area this season. The NCDEX have imposed a special margin of 5% on the sell side to support falling prices.
Technical Aspect (Jan)
Turmeric (Apr)
Support seen at 7400 and Resistance is 7585.
Looks positive and likely to touch 7585.Break and sustain above 7585 will take it towards 7650—7730 and then 7850++ mark in near term.
Fresh selling only can be seen only close below 7400 on closing basis.
Trade with levels only.
Jeera
Support seen at 21350 and Resistance is at 21800.
Buy and accumulate more on decline till 21350. Likely to touch 21800. Break and sustain above 21800 will take it towards 22050—22350 and then 22600++ mark.
Fresh selling can be seen on close below 21350 mark.
Trade with levels only.
Castor Seed
Support at 4440 and Resistance at 4550.
Looks Positive on chart. Buy and accumulate more on decline. Break and sustain above 4550 will take it towards 4630—4690 and then 4750++ mark in near term.
Fresh selling can be initiated below 4440 mark on closing basis.
Trade with levels only.
Guarseed
Support is at 3880 and Resistance is 4000.
Looks positive on chart and likely to touch 4000 .Break and sustain above 4000 will take it towards 4060—4120 and then 4200++ mark.
Fresh selling can be seen on close below 3880 on closing basis.
Trade with levels only.
Chana
Support is 3950 and Resistance is 4150.
Rally likely to continue till 4150.Break and sustain 4150 will take it towards 4220—4300 and then 4360++ mark in near term.
Support will remain at 3950 on closing basis.
Trade with levels only
RM Seed
Support seen at 3950 and resistance is at 4050.
Buy and accumulate more on decline till 3950. Break and close below 4050 will take it towards 4130—4200 and then 4260++ mark in near term.
Fresh selling can be initiated below 3950 mark on closing basis.
Trade with levels only.
Soybean
Support seen at 2980 and Resistance is 3080.
Buy and accumulate more on decline till 2980.Break and sustain above 3080 will take it towards 3140—3220 and then 3270++ mark in coming days.
Fresh selling can be seen on close below 2980 mark on closing basis.
Trade with levels only.
CPO
Support seen at 555 while Resistance is 568.
Looks positive on chart. Buy and accumulate more on decline and its likely to touch 568 soon. Break and sustain above 568 will take it towards 574—579 and then 585++ mark in near term.
Support and stop loss will remain at below 555 mark on closing basis.
Trade with levels only
More will update soon!!!
