Silver market under fresh selling; Support seen at 38305
Gold market under fresh buying; Support seen at 31301
NCDEX Turmeric under short covering
MCX Crude Palm Oil under long liquidation
NCDEX Ref. Soya Oil under fresh selling; Resistance seen at 757
Technically Mustard Seed market is under fresh selling as market has witnessed gain in open interest by 11.31% to settled at 59720 while prices down 11 rupees.
Now NCDEX Mustard Seed is getting support at 4140 and below same could see a test of 4126 level, And resistance is now likely to be seen at 4174, a move above could see prices testing 4194.
Mustard Seed on NCDEX settled down by 0.26% at 4153 on profit booking after prices gained on expectation of improved export demand for meal but fresh physical arrivals from the NAFED stocks sale limited the upside.
The minimum support price for mustard increased by 200 rupees to 4,200 rupees per 100 kg by the govt. As per SEA data, India’s rapeseed meal exports up 24% on year to 88,236 tn in August due to good export demand.
For Apr-Aug, India’s rape meal exports up by 107% on year at 4.90 lt. According to MOPA, country crushed about 5 lt of mustard in September, 18% higher on year. In 2018, about 49 lakh tonnes of mustard were crushed, up 13.3% on year.
The area under the mustard crop across the country may decline 10% on year in 2018-19 (Jul-Jun) owing to patchy rainfall in major growing regions. Weak monsoon rain in some parts of Rajasthan (the largest producer) is inadequate to support the proper vegetative growth of mustard crop. Farmers may not go for higher area this year.
Even area under the crop would fall by around 10% from last year. So far this monsoon season, rains in Rajasthan have been 6% below normal, according to India Meteorological Department. Uttar Pradesh, Madhya Pradesh, and Gujarat, the other top growers, also received scanty showers this season. In Alwar spot market in Rajasthan the prices dropped 20 Rupees to end at 4288.95 Rupees per 100 kg.
Trading Ideas:
–Mustard Seed trading range for the day is 4126-4194.
–Mustard Seed dropped on profit booking after prices gained on expectation of improved export demand for meal.
–The minimum support price for mustard increased by 200 rupees to 4,200 rupees per 100 kg by the govt.
–NCDEX accredited warehouses mustard seed stocks dropped by 568 tonnes to 17818 tonnes.
–In Alwar spot market in Rajasthan the prices dropped 20 Rupees to end at 4288.95 Rupees per 100 kg.
Courtesy: Kedia Commodities
Source: Commodityonline.com
