MCX Aluminium may trade in a range between 147.1-153.7
Nickel market under long liquidation; Support seen at 931
NCDEX Ref Soy Oil under short covering
MCX Crude Palm Oil under short covering; Resistance seen at 594.3
Zinc market under long liquidation; Support seen at 172.7
Technically Soyabean market is under short covering as market has witnessed drop in open interest by 4.68% to settled at 56450.
Now NCDEX Soyabean is getting support at 3194 and below same could see a test of 3161 level, And resistance is now likely to be seen at 3245, a move above could see prices testing 3263.
Soyabean on NCDEX settled up by 1.16% at 3226 on increased support and fresh demand in spot markets from millers. Projection of lower carry over stocks for the next season beginning October also supported the prices.
However, gains are seen limited in view of bumper crop during 2018-19 on the back of higher sowing and favourable weather conditions. India’s 2018-19 soybean sowing rose 6% to 11.12 million hectare until August 24, agriculture ministry data showed.
Earlier, government has increased the export incentives on soymeal to 10% of the free-on-board value from the current 7% till Mar 31. Soymeal exports in August are expected to double on year to over 100,000 tn due to robust demand from European countries.
India’s soybean output is set to jump about 20 percent to over 10 million tonnes in the 2018/2019 crop year that starts in October, an industry official said. Higher production in the world’s top importer of edible oils could curb its appetite for cargoes from overseas, potentially dragging on international soybean prices.
India would likely churn out 8.3 million tonnes of soybeans in the 2017/2018 crop year that ends on Sept. 30. The amount of land in India planted with soybeans for the 2018/2019 crop year had risen to 11.1 million hectares.
The United States Department of Agriculture (USDA) hiked 2018-19 estimates for the US soybean production and ending stockpiles for August. At the Indore spot market in top producer MP, soybean dropped 1 Rupees to 3305 Rupees per 100 kgs.
Trading Ideas:
–Soyabean trading range for the day is 3161-3263.
–Soyabean gained on increased support and fresh demand in spot markets from millers.
–Projection of lower carry over stocks for the next season beginning October also supported the prices.
–However, gains are seen limited in view of bumper crop during 2018-19 on the back of higher sowing and favourable weather conditions.
–At the Indore spot market in top producer MP, soybean dropped 1 Rupees to 3305 Rupees per 100 kgs.
Courtesy: Kedia Commodities
Source: Commodityonline.com
