MCX Nickel under short covering
MCX Silver likely to trade in a range between 36928-38516
MCX Aluminium may trade between 142.1-147.1 levels
MCX Menthol Oil likely to move in a range of 1737.8-1793.6
MCX Gold under long liquidation; Support seen at 31245
Technically NCDEX Jeera is getting support at 21002 and below same could see a test of 20933 level, And resistance is now likely to be seen at 21167, a move above could see prices testing 21263.
Jeera on NCDEX settled down 0.07% at 21070 on profit booking after prices gained amid lack of arrivals and reports of lower sowing this season. Moreover, participants are expecting lower jeera sowing this year as moisture in the soil is not sufficient to grow the produce because of deficient rainfall in major producing regions.
Meanwhile, carryover stock of jeera was lowered to 200,000-300,000 bags from expected stock of 500,000 bags this season. Sowing was expected to be higher due to prevailing high prices but lower rains in producing areas of both the states may impact the yield and overall output. Gujarat and Rajasthan are facing water shortage due to erratic monsoon rains.
The prevailing water crisis may curtail jeera sowing by about 25% from last year’s area of 780,000 hectares. Moreover, carryover stocks are seen lower at 200,000-300,000 bags less than the desirable 500,000 bags of 55 kg each.
India’s jeera exports have reached nearly to 130,000 tons until September during the current fiscal. However, jeera exports in 2018/19 (Apr-Aug) has crossed 1 lakh tonnes, up 54.8% compared to exports last year for same period as per data released by Commerce Ministry.
Seasonally, the exports of Jeera dip during the 4th quarter of the calendar year. However, those regions which have good irrigation facilities will have good output. According to the initial trade estimate, there may not be any increase in the sowing area of jeera because of dry Weather.
Trading Ideas:
–Jeera trading range for the day is 20935-21265.
–Jeera dropped on profit booking after prices gained amid lack of arrivals and reports of lower sowing this season.
–Meanwhile, carryover stock of jeera was lowered to 200,000-300,000 bags from expected stock of 500,000 bags this season.
–NCDEX accredited warehouses jeera stocks gained by 13 tonnes to 2914 tonnes.
–In Unjha, a key spot market in Gujarat, jeera edged up by 110 Rupees to end at 20430 Rupees per 100 kg.
Courtesy: Kedia Commodities
Source: Commodityonline.com
