MCX Crude Oil may trade in a range between 3488-4044
MCX Silver may trade in a range between 36900-38536
Gold market under fresh buying; Support seen at 31073
NCDEX Chana under fresh selling; Support seen at 4585
MCX Zinc under long liquidation
Technically Cotton market is under fresh buying as market has witnessed gain in open interest by 1.15% to settled at 5651 while prices up 120 rupees.
Now MCX Cotton is getting support at 21710 and below same could see a test of 21510 level, And resistance is now likely to be seen at 22050, a move above could see prices testing 22190.
Cotton on MCX settled up 0.55% at 21910 on reports of slow arrivals in physical market and export demand from China, Bangladesh, Vietnam & opening up of Pakistan market. The Indian Cotton Federation (ICF) has estimated cotton crop for 2018-19 in the country to be 373 lakh bales of 170 kg a bale.
However, CAI has revised downward the cotton production estimate for the country by 4.75 lakh bales, pegging it at 343.25 lakh bales of 170 kg for the current season 2018-19. Government has taken a new decision to maintain transparency in cotton procurement.
The Central Government has made Indian Cotton Corporation Limited a nodal agency for the purchase of cotton. There is intermittent rise in cotton arrivals across major mandis are witness. Cotton Corporation of India (CCI) may enter into the markets of Maharashtra to buy cotton next week as prices came closer to government fixed minimum support price (MSP), said a senior official.
The CCI already started buying cotton in the markets of Madhya Pradesh and Telangana but in small quantities. With the increase in new crop supplies after the Diwali festival prices of cotton have started declining and are near to MSP, the official said. Government buying is set to pickup in Telangana this week as prices are ruling near to MSP level.
Trading Ideas:
–Cotton trading range for the day is 21510-22190.
–Cotton prices gained on reports of slow arrivals in physical market and export demand from China, Bangladesh, Vietnam & opening up of Pakistan market.
–The Indian Cotton Federation (ICF) has estimated cotton crop for 2018-19 in the country to be 373 lakh bales of 170 kg a bale.
–Cotton arrivals stood at 750,000 bales in Gujarat down from 1.05 million bales a year ago while the inflow improved to 660,000 bales in Rajasthan.
–Cotton prices in spot market dropped by 90.00 rupees and settled at 21420.00 rupees.
Courtesy: Kedia Commodities
Source: Commodityonline.com
