NCDEX Turmeric under fresh selling; Support seen at 6551
MCX Crude Palm Oil under short covering; Resistance seen at 535.4
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 Mustard Seed market is under long liquidation as market has witnessed drop in open interest by 9.41% to settled at 21460 while prices down 6 rupees.
Now NCDEX Mustard Seed is getting support at 3921 and below same could see a test of 3908 level, And resistance is now likely to be seen at 3949, a move above could see prices testing 3964.
Mustard Seed on NCDEX settled down 0.15% at 3935 due to expectation of good production and concern over meal exports to China in coming season. USDA forecasts 2018/19 India rapeseed production at 6.0 mt, down 0.45 mt from 2017.
India’s mustard acreage is likely to rise 6.5% on year to 6.7 mln ha in 2018-19 (Jul-Jun), as per the average of the estimates. The likely rise is seen on the back of a higher minimum support price and as farmers preferred sowing mustard over pulses in some parts of the country.
The expected rise in area under mustard seed this year is also because of a fall in temperatures in Rajasthan, the largest grower, which is favourable for the oilseed, agricultural scientists said. In Rajasthan, mustard acreage is likely to increase to over 2.3 mln ha from 1.9 mln ha last year, Agarwal said.
Farmers across the country had sown mustard across 5.79 mln ha up 4.3% from a year ago, according to latest data released by the farm ministry. Last year, mustard acreage was at 6.7 mln ha, according to government data.
Expectation that state governments might bring mustard under the Bhavanatar Bhugtan Yojana, when fresh arrivals begin in full swing, might also encourage farmers to sow more of the oilseed, Mustard Oil Processors Association of India General Secretary said.
Trading Ideas:
–Mustard Seed trading range for the day is 3908-3964.
–Mustard Seed prices dropped due to expectation of good production and concern over meal exports to China in coming season.
–India’s mustard acreage is likely to rise 6.5% on year to 6.7 mln ha in 2018-19 (Jul-Jun), as per the average of the estimates.
–NCDEX accredited warehouses mustard seed stocks dropped by 68 tonnes to 4797 tonnes.
–In Alwar spot market in Rajasthan the prices dropped 10 Rupees to end at 4128 Rupees per 100 kg.
Courtesy: Kedia Commodities
Source: Commodityonline.com
