Nickel market under short covering; Support seen at 941
MCX Aluminium may trade between 139.7-147.5 levels
MCX Cardamom under fresh buying; Support seen at 1145.9
NCDEX Jeera under fresh selling; Resistance seen at 20123
Zinc market under fresh selling; Support seen at 175
Technically Cotton market is under fresh buying as market has witnessed gain in open interest by 1.95% to settled at 4072 while prices up 210 rupees.
Now MCX Cotton is getting support at 23986.6 and below same could see a test of 23793.3 level, And resistance is now likely to be seen at 24326.6, a move above could see prices testing 24473.3.
Cotton on MCX settled up 0.88% at 24180 amid rising demand from domestic mills at the spot market. Besides, expectation of lower yield and crop failure due to insufficient rains in major producing belts of Gujarat also fuelled the uptrend.
The Cotton Advisory Board (CAB) has said that India’s cotton exports are likely to increase by 20% during the current cotton season of October, 2017 to September, 2018, over last year.
It added that exports are expected to touch 70 lakh bales by September this year. >From October, 2017 to April 2018, the total amount of cotton exported from India was 51.21 lakh bales.
The board has estimated the cotton production for the current cotton season 2017-18 (October 2017 to September 2018) at 370 lakh bales. CAB highlighted that domestic prices of cotton are ruling below the international cotton prices.
Domestic sale prices of the representative variety of S-6 cotton vis-a-vis international prices of its equivalent variety were lower by 7.18%. Farmers in the country have sown cotton across 5.46 mln ha in the ongoing kharif season, down 24% from the year-ago period.
In Maharashtra, the largest producer, the area under the crop was down 10.3% on year at 1.96 mln ha, according to the data. It was, however, a whopping 212.6% higher from a week ago as sowing picked up pace due to good rains in parts of the state.
Trading Ideas:
–Cotton trading range for the day is 23793-24473.
–Cotton prices gained amid rising demand from domestic mills at the spot market.
–Besides, expectation of lower yield and crop failure due to insufficient rains in major producing belts of Gujarat also fuelled the uptrend.
–CAB has said that India’s cotton exports are likely to increase by 20% during the current cotton season of October, 2017 to September, 2018.
–Cotton prices in spot market gained by 60.00 rupees and settled at 23440.00 rupees.
Courtesy: Kedia Commodities
Source: Commodityonline.com
