Natural Gas market under fresh buying; Support seen at 220.8
MCX Crude Oil likely to trade between 5210-5336 levels
MCX Silver expected to trade in a range between 37290-38866
MCX Gold expected to trade in a range between 30682-30916
MCX Crude Palm Oil under short covering; Support seen at 592.2
Technically Soyabean market is under long liquidation as market has witnessed drop in open interest by 9.09% to settled at 45310 while prices down 9 rupees.
Now NCDEX Soyabean is getting support at 3271 and below same could see a test of 3249 level, And resistance is now likely to be seen at 3314, a move above could see prices testing 3335.
Soyabean on NCDEX settled down by 0.27% at 3294 on expectation of bumper crop during next season. The area under soybean in the country up 6.3% at 112.6 lakh ha as of last week compared to last year sowing, according to data released by the farm ministry.
According to the data released by SEA, India’s soy meal exports down 32% on year to 59,643 tn in August due to dull demand from major importers. For Apr-Aug, India’s soymeal exports down by 4% on year at 3.72 lakh tonnes.
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However, there is anticipation of good physical demand for crushing due to expectations over rising exports to China. China has shown interest in buying soybean de-oiled cake produced in Maharashtra which will help soybean prices to rise above MSP.
Moreover, Government is likely to announce Rs 10,000 Crore package to ensure MSP to oilseeds farmers. Moreover, USDA reported that 71% of the US soybean crop had leaves dropping (avg. 57%), with harvest 14% complete (avg. 8%).
The United States Department of Agriculture (USDA) has hiked 2018-19 estimates for the US soybean production and ending stockpiles for September. The USDA, in its World Agriculture Supply and Demand Estimates report, expects soybean output in United States, the world’s biggest soybean grower, at 127.73 million tons in September, compared to 124.81 million tons estimated in August. At the Indore spot market in top producer MP, soybean dropped -17 Rupees to 3386 Rupees per 100 kgs.
Trading Ideas:
–Soyabean trading range for the day is 3249-3335.
–Soyabean prices remained under pressure on expectation of bumper crop during next season.
–The area under soybean in the country up 6.3% at 112.6 lakh ha as of last week compared to last year sowing.
–India’s soy meal exports down 32% on year to 59,643 tn in August due to dull demand from major importers.
–At the Indore spot market in top producer MP, soybean dropped 17 Rupees to 3386 Rupees per 100 kgs.
Courtesy: Kedia Commodities
Source: Commodityonline.com
