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Monday, August 15, 2022

MCX Crude Palm Oil under Fresh selling; Support seen at 604.4

Crude Oil market under fresh buying; Support seen at 4938

Silver market under fresh selling; Support seen at 37100

MCX Gold may trade in range between 30460-30866 levels

NCDEX Ref Soy Oil may trade between 744-750 levels

NCDEX Soyabean under fresh buying; Resistance seen at 3283

Technically Crude Palm Oil market is under fresh selling as market has witnessed gain in open interest by 0.09% to settled at 5745 while prices remain unchanged rupees.

Now MCX Crude Palm Oil is getting support at 604.4 and below same could see a test of 602.8 level, And resistance is now likely to be seen at 608.7, a move above could see prices testing 611.4.

Crude Palm Oil on MCX settled flat with the improving demand from the stockists ahead of festive season. Further, higher export demand and lower stock levels with minimum supplies also supported prices.

Palm oil production is widely expected to rise in the coming months in line with seasonal trends.  August output is likely to have risen 9.9 percent to 1.65 million tonnes, contributing to higher inventory levels, which are seen hitting a six-month top at 2.41 million tonnes.

Indonesia’s 2018 crude palm oil output is set to climb by 4-6 million tonnes from last year to 40-42 million tonnes, said an official from an industry association. Palm oil output usually rises in line with seasonal factors towards the third and fourth quarter of the year.

Indonesia exported 2.81 million tonnes of palm and palm kernel oils in the month of June, up 17 percent on a year ago, data from the Indonesian palm oil association (GAPKI) showed. The rise in exports was due to “cheap” prices of the vegetable oil, while top buyer India resumed purchases, GAPKI said in a statement.

Despite the higher exports, domestic stockpiles of palm oil rose to 4.9 million tonnes in July, up from 4.85 million tonnes a month earlier. Production and exports of palm oil from Indonesia, the world’s largest producer of the vegetable oil, rose in July from a month earlier, said a survey of two industry groups and a state palm oil research firm.

Trading Ideas:
–Crude Palm Oil trading range for the day is 602.8-611.4.
–Crude Palm Oil settled flat with the improving demand from the stockists ahead of festive season.
–Palm oil production is widely expected to rise in the coming months in line with seasonal trends.
–August output is likely to have risen 9.9 percent to 1.65 million tonnes, contributing to higher inventory levels, which are seen hitting a six-month top.
–Crude Palm Oil prices in spot market dropped 0.60 rupees and settled at 607.20 rupees.

Courtesy: Kedia Commodities

Source: Commodityonline.com

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