MCX Aluminium may trade between 134.3-137.3 levels
MCX Nickel may move in a range of 747.3-772.5
MCX Zinc likely to move in a range of 172.2-185
MCX Copper likely to move in a range of 421.1-442.5
MCX Natural Gas may trade between 289.7-333.5 levels
Technically MCX Mentha Oil is getting support at 1685.8 and below same could see a test of 1672.1 level, And resistance is now likely to be seen at 1707.6, a move above could see prices testing 1715.7.
Mentha Oil settled flat due to surge in arrivals and tepid demand from domestic market weighed on prices. Low demand outlook in mentha oil in domestic as well as global market due to expectation of recovery in Indian Rupee against the U.S dollar.
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.
Mandi Department, which assumes Mentha as an agricultural product and receives the mandatory duty of one and a half percent, the GST of the same commerce tax department, Mentha crop, is not considered as agricultural product and 15 percent GST is charged.
Due to this double tax, the price of mentha product increases, whereas synthetic mentha is much cheaper, so many companies making mentha products have started using synthetic mentha. Mentha oil spot at Sambhal closed at 1841.80 per 1kg. Spot prices was down by Rs.11.70/-.
Trading Ideas:
–Mentha Oil trading range for the day is 1672.1-1715.7.
–Mentha Oil spot at Sambhal closed at 1841.80 per 1kg. Spot prices was down by Rs.11.70/-.
–Mentha Oil prices ended with flat node due to surge in arrivals and tepid demand from domestic market weighed on prices.
–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.
–However, there could be chances of crop damage to certain extend due to unfavourable weather condition.
Courtesy: Kedia Commodities
Source: Commodityonline.com
