MCX Nickel may trade between 955.3-984.5 levels
MCX Aluminium under fresh selling; Support seen at 142.2
MCX Mentha Oil likely to trade in a range of 1430.4-1511.4
Zinc market under fresh selling; Support seen at 178.8
MCX Copper under fresh selling; Support seen at 429.9
Technically MCX Cotton is getting support at 22636 and below same could see a test of 22543 level, And resistance is now likely to be seen at 22796, a move above could see prices testing 22863.
Cotton settled flat on profit booking after prices gained supported by slow cotton sowing progress in the country. Cotton acreage till last week was down by 24% on year to 54.60 lakh hac, according to the farm ministry data.
In Maharashtra, the largest producer, the area under the crop was down 10.3% on year at 19.6 lakh ha as on last week while acreage in Gujarat, another major grower, was down 61.1% on year at 492,900 ha due to deficient rains.
However, market participants are expecting higher imports in coming months as government increase minimum support prices for cotton by 26-28%. MSP of cotton (MS) has been raised to Rs 5,150 from Rs 4,020 and that of cotton (LS) to Rs 5,450 from Rs 4,320 per quintal.
There are reports of good export demand and lower pace of kharif sowing in the country. The domestic cotton acreage dipped 24% to 5.46 million hectare on late arrivals of rains in major cotton producing states like Maharashtra, Gujarat and Madhya Pradesh.
Moreover, inadequate and sporadic rainfall in West Texas region is probably causing damage to the sown seedling crops or might eventually reduce acreage under cotton. Market participants will keenly watch out for US acreage under cotton and Indian sowing status since supply scenario of these two countries will determine the market trend in the near-term.
–Cotton trading range for the day is 22543-22863.
–Cotton dropped on profit booking after prices gained supported by slow cotton sowing progress in the country.
–Cotton acreage till last week was down by 24% on year to 54.60 lakh hac, according to the farm ministry data.
–In Maharashtra, the area under the crop was down 10.3% on year at 19.6 lakh ha as on last week while acreage in Gujarat.
–Cotton prices in spot market gained by 50.00 rupees and settled at 22970.00 rupees.
Courtesy: Kedia Commodities