MCX Nickel under fresh buying; Resistance seen at 903.7
MCX Aluminium expected to trade between 143.1-150.5 levels
NCDEX Turmeric may trade between 6560-6844 levels
NCDEX Jeera likely to move in a range of 19205-19785
MCX Cardamom under fresh buying; Support seen at 1407
Technically Mentha Oil market is under short covering as market has witnessed drop in open interest by 6.89% to settled at 1447 while prices up 45.5 rupees.
Now MCX Mentha Oil is getting support at 1694 and below same could see a test of 1665.3 level, And resistance is now likely to be seen at 1739.4, a move above could see prices testing 1756.1.
Mentha Oil on MCX settled up by 2.71% at 1722.6 tracking firmness in spot demand as farmers and stockists have kept their stocks in hopes of an increase in prices. On the other hand, the export demand in the current time is average, but there is hope for an increase in export demand due to drop in rupee to lowest level against the dollar.
Spot markets are also witnessing strong consumption demand amid restricted supplies. Bumper crop harvest has been discounted in the market and market is moving upwards on rising demand from end users.
Arrivals in Sambhal stood at 400 drums compared to 350 drum a day ago while in Barabanki supplies rose to 500 drums from 450 drums a day earlier. According to preliminary estimates, mentha oil production in 2018-19 would be 40,000-45,000 ton against last year’s production of 35,000 tons.
There could be chances of crop damage to certain extend due to unfavourable weather condition. Besides, farmers are likely to hold back the stocks as the present prices are not remunerative for them. However, in recent years, the growth in production and consumption of synthetic mentha has influenced the demand for natural mentha.
As per sources, India contributes around 80% to the total global mentha oil production. Total global production stood at around 48,000 tonnes, out of which India produces between 30,000-40,000 tonnes. Mentha oil spot at Sambhal closed at 1883.40 per 1kg. Spot prices was up by Rs.40.80/-.
Trading Ideas:
–Mentha Oil trading range for the day is 1665.3-1756.1.
–Mentha Oil spot at Sambhal closed at 1883.40 per 1kg. Spot prices was up by Rs.40.80/-.
–Mentha Oil prices ended with gains tracking firmness in spot demand as farmers and stockists have kept their stocks in hopes of an increase in prices.
–On the other hand, the export demand in the current time is average, but there is hope for an increase in export demand due to drop in rupee to lowest level against the dollar.
–Arrivals in Sambhal stood at 400 drums compared to 350 drum a day ago while in Barabanki supplies rose to 500 drums from 450 drums a day earlier.
Courtesy: Kedia Commodities
Source: Commodityonline.com
