Agro Commodity Update (15th Feb-2018)
Fundamental Aspect:
Jeera futures prices traded sharply lower on the back of fresh selling triggered by the market participants on expectation of higher production and start of new season arrivals. Jeera futures are trading at more than 14 months lows. The new season arrivals are expected to pick up in next 15-20 days. Jeera production may be higher in coming season on reports of higher acreage of cumin in Gujarat during current season. In Gujarat, Jeera acreage is up by 38% to 3.83 lakh hectares as on 15-Jan-18. Last year, it was 2.88 lakh ha at that same time. As per government data, Jeera exports during first 8 month of FY 2017-18 (Apr-Nov) is noted at 98,681 tonnes, up 15% as compared to last year exports volume for the same period. India's jeera exports in November increase by 60% on year to 10,451 tn.
Cotton future prices traded under pressure for the third consecutive session due to improved physical arrivals. Cotton prices have been correcting this month despite reports of lower than expected production estimates. USDA in its monthly report trimmed cotton production for the 4th consecutive month for India by 2.73% to 28.5 million bales in its February report. Moreover, Cotton production in India in 2017-18 (Oct-Sep) is likely to miss the government's estimate of 322 lakh bales by 7- 8% due to pest attack in large areas across Maharashtra and Telangana.
Technical Aspect
Guar seed
Our sell call from 4580—4350 has proven great.
Now what to expect?
Support is at 4350 and Resistance is 4500.
Panic likely to continue. Break and sustain below 4350 further fall expected towards 4280—4220 and then 4150 mark in near term.
Fresh buying only can be seen on close above 4500 marks.
Trade with levels only.
Chana (March)
Our sell call from 3800—3731 has proven great.
Support is 3700 and Resistance is 3850
Panic likely to continue till 3700. Break and sustain below 3700 will take it towards 3630—3550 mark in near term else could touch its resistance level of 3850.
Fresh buying can be seen on close above 3850.
Trade with levels only.
RM Seed (April)
Support seen at 4050 and resistance is at 4200.
Looks weak on chart. Break and sustain below 4050 will take it to 3970--3920 and then 3850 mark.
Fresh buying can be initiated on close above 4150 mark.
Trade with levels only.
Soybean (March)
Support seen at 3700 and Resistance is 3900.
Either side break and close will set the further trend in it.
Trade with levels only.
Castor Seed (March)
Support at 4050 and Resistance at 4200
Below 4050 panic likely to continue till 3980—3900 and then 3850 mark else could touch its resistance level of 4200.
Fresh buying only can be seen on close above 4200.
Trade with levels only.
Cotton (March)
Support is 19800 and Resistance is 20200.
Looks weak on chart. Below 19800 panic likely to continue till 19650—19500 and then 19320 mark in near term .
Fresh buying only can be seen on close above 20200.
Trade with levels only.
Jeera (March)
Our sell call from 16000—15810 has proven great.
Now what to expect?
Support seen at 15800 and Resistance is at 16200
Below 15800 panic likely to continue till 15550—15300 mark in near term else could touch its resistance level of 16200 mark.
Fresh buying only can be seen above 16200 on closing basis.
Trade with levels only.
Turmeric (Apr)
Support is 7200 while Resistance is 7350
Break and sustain below 7200 will take it towards 7040—6900 and then 6750 mark in near term else could touch its resistance level of 7350.
Fresh buying only can be seen on close above 7350.
Trade with levels only.
CPO (March)
Support seen at 570 while Resistance is 585.
Buy and accumulate as its likely to be a safe bet in near term. Break and sustain above 585 will take it towards 594—608 mark in near term.
Fresh selling only can be initiated below 570 mark on closing basis.
Trade with levels only
More Will update Soon!!!
