Agri Commodity Update (12th-Jan-2018)
Fundamental Aspect:
Chana futures settled the day with higher note on fresh buying by the market participants at lower prices. Earlier prices were trading near 3 year’s low on reports on higher stocks and good sowing progress. As per the latest government sowing data, area under the Chana crop across the country was up 12.7% on year at 103.8 lakh ha as on last week. India imported about 5.84 lakh tonnes of chana during Apr-Oct, which is up by 430% as compared with the last year imports. Market participants will shift to Mar delivery contract as margins have been levied on the near month contracts.
Jeera prices slipped more than 2% in last couple of days as market participants initiated fresh selling on expectation that jeera production may be higher in coming season on reports of higher acreage of cumin in the current season. In Gujarat, Jeera acreage is up by 38% to 3.83 lakh hectares as on 9-Jan-18. Last year, it was 2.88 lakh ha at that same time. Jeera arrivals during first 10 days of Jan’18 were down to 879.5 tonnes on year compared to 3,944 tonnes noted earlier due to tight supplies and lower stocks with the stockists. Moreover, good progress of jeera sowing in Gujarat pressurizes prices. As per the latest government data, Jeera exports during first seven month of FY 2017-18 (Apr-Sep) is noted at 88,229 tonnes, up 11% compared to last year exports volume for the same period.
Technical Aspect
Guarseed (Feb)
Support is at 4320 and Resistance is 4480.
If prices unable to break and close below 4320 then we can expect the ongoing rally may likely to continue till 4480. Weekly close above 4480 will take it towards 4550—4680++ mark in near term.
Fresh selling can be seen on close below 4320 mark.
Trade with levels only.
Chana (March)
Support is 3740 and Resistance is 3880
Traders can buy and accumulate more here. Looks positive on chart and likely to hit 3880. Weekly close above 3880 will take it towards 3940—4000 and then 4060++ mark in near term.
Fresh selling only can be seen on close below 3740 mark.
Trade with levels only.
RM Seed (April)
Support seen at 4020 and resistance is at 4150.
Looks weak on chart and any sharp rise will be a selling opportunity in it.Break and close below 4020 will take it towards 3960—3920 and then 3850 mark in near term.
Fresh buying only can be initiated above 4150 mark on closing basis.
Trade with levels only.
Soybean
Support seen at 3150 and Resistance is 3350.
We expect positive move likely to continue in near term. Buy and accumulate more on decline and its likely to hit 3350 in near term. Break and close above 3350 will see more upside rally in coming days.
Fresh selling can be seen on close below 3150 mark on closing basis.
Trade with levels only.
Castor Seed (Feb)
We are carrying sell position from 4305 in it.
Now what to expect?
Support at 4050 and Resistance at 4220.
Panic likely to continue till 4050. Break and close below 4050 will take it towards 3980—3930 and then 3850 mark in near term.
Fresh buying can be initiated above 4220 mark on closing basis.
Trade with levels only.
Cotton
Our buy call from 20600 –20820 has proven great.
Now what to expect?
Support is 20300 and Resistance is 20900.
Rally likely to continue till 20900. Weekly close above 20900 will take it towards 21250—21500 and then 21850++ mark in near term.
Fresh selling can be seen on close below 20300.
Trade with levels only.
Jeera
Support seen at 20900 and Resistance is at 21300.
Looks negative on chart. Weekly close below 20900 will take it towards 20750—20500 levels in near term else could touch its resistance level of 21300.
Fresh buying only can be initiated above 21300.
Trade with levels only.
Turmeric (Apr)
Support is 7350 while Resistance is 7650.
If prices unable to break its support of 7350 then we can expect “U” Turn in it till 7650. Weekly close above 7650 will take it towards 7760---7850 and then 8000++ mark.
Fresh selling only can be seen on close below 7350 on closing basis.
Trade with levels only.
Soy Refined (Feb)
Support is 738 and Resistance is 748.
Either side break or close will set the further trend in it.
Trade with levels only.
CPO (Feb)
Support seen at 558 while Resistance is 572.
Buy and accumulate more on decline till 558 as we expect near term positive sentiment in it. It’s likely to hit 572 mark soon. Weekly close above 572 will see a new bull run in it.
Fresh selling only can be initiated below 558 mark on closing basis.
Trade with levels only
More will update soon!!!
