NCDEX Turmeric under fresh selling; Support seen at 6551
Long liquidation seen in NCDEX Mustard Seed
NCDEX Ref. Soya Oil under short covering
NCDEX Soyabean under long liquidation
MCX Mentha Oil likely to trade in a range of 1571.4-1642.
Technically Crude Palm Oil market is under short covering as market has witnessed drop in open interest by 1.99% to settled at 5306 while prices up 4.8 rupees.
Now MCX Crude Palm Oil is getting support at 527.9 and below same could see a test of 523.2 level, And resistance is now likely to be seen at 535.4, a move above could see prices testing 538.2.
Crude Palm Oil on MCX settled up 0.91% at 532.6 tracking firmness in spot demand on short covering despite overseas prices dropped on concerns over rising inventory levels. Malaysian stockpiles at end-November had climbed 10 percent to 3 million tonnes, the highest in at least 18 years.
Palm oil output in Malaysia, the second largest producer of the vegetable oil, seasonally declines in the first few months of the year after peaking in the previous quarter. November production had slid 6.09 percent from the previous month to 1.85 million tonnes, according to industry regulator data.
There are reports of sufficient stock levels in the country and expectation of cheaper imports from Malaysia due to zero duty. USDA in its December update, forecast palm oil production to 73.3 million tonnes in 2018/19 up by 1.45% m/m due to higher production estimates for Indonesia.
India imports figures are unchanged at 10.5 mt, up 22% compared to past year imports. India’s palm oil imports are unlikely to climb over November to January even as prices for the commodity plumb their lowest in three years, reined in by ample local supply of rival oilseeds and as a liquidity crunch hits would-be buyers.
The South Asian country is the world’s biggest importer of palm oil and is a key factor in international benchmark prices, which have fallen nearly a fifth so far in 2018.
Trading Ideas:
–Crude Palm Oil trading range for the day is 523.2-538.2.
–Crude Palm Oil gained tracking firmness in spot demand on short covering despite overseas prices dropped on concerns over rising inventory levels.
–Malaysian stockpiles at end-November had climbed 10 percent to 3 million tonnes, the highest in at least 18 years.
–India’s palm oil imports are unlikely to climb over November to January even as prices for the commodity plumb their lowest in three years.
–Crude Palm Oil prices in spot market gained by 3.60 rupees and settled at 515.60 rupees.
Courtesy: Kedia Commodities
Source: Commodityonline.com
