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
Ref. Soya Oil market under short covering
Technically Crude Palm Oil market is under short covering as market has witnessed drop in open interest by 19.87% to settled at 2863 while prices up 2 rupees.
Now MCX Crude Palm Oil is getting support at 592.2 and below same could see a test of 590 level, And resistance is now likely to be seen at 595.8, a move above could see prices testing 597.2.
Crude Palm Oil on MCX settled up by 0.34% at 594.4 tracking weakness in overseas prices on the back of expectations of rising output and stockpiles. The base import price of crude palm oil was increase for the second half of September, after cut for 6 successive time to $572 per tn from $567per tn.
According to SEA monthly update During August, import of palm oil increased sharply to 920,894 tn from 868,744 tn seen in the corresponding period a year ago and 550,180 tn a month ago.
During Nov-Aug, palm oil imports (CPO + RBD) declined to 69.4 lt from 75.48 lt. Higher stock levels in the country and expectation of cheaper imports from Malaysia due to zero duty may keep prices in check.
announced it would maintain its export tax on crude palm oil for October at zero percent. The export tax was NIL last month as well, down from 4.5% in August. In Malaysia, the world’s second largest producer and exporter, palm oil shipments during Sept.
1- 20 jumped over 70% from a month earlier, reported cargo surveyors AmSpec Agri Malaysia. Palm oil output expected to rises in the third and fourth quarter of the year in line with seasonal trends. Exports of Malaysian palm oil products for September 1 – 25 rose 64.2 percent to 1,370,897 tonnes from 835,134 tonnes shipped during August 1 – 25, cargo surveyor Intertek Testing Services said.
Trading Ideas:
–Crude Palm Oil trading range for the day is 590-597.
–Crude Palm Oil pared its gains tracking weakness in overseas prices on the back of expectations of rising output and stockpiles.
–Higher stock levels in the country and expectation of cheaper imports from Malaysia due to zero duty keeping prices in check.
–Malaysia’s Sept 1-25 palm oil exports seen at 1,326,748 tonnes vs Aug 1-25 at 821,485 tonnes -AMSPEC Malaysia.
–Crude Palm Oil prices in spot market gained by 2.50 rupees and settled at 593.50 rupees.
Courtesy: Kedia Commodities
Source: Commodityonline.com
