MCX Cotton under short covering; Resistance seen 21000
Mentha Oil market under long liquidation; Support seen at 1545.9
NCDEX Jeera may move in a range of 16780-17480
NCDEX Turmeric likely to move in a range of 6480-6728
Aluminium market under fresh selling; Support seen at 130.8
Technically Chana market is under long liquidation as market has witnessed drop in open interest by 0.72% to settled at 41290 while prices down 19 rupees.
Now NCDEX Chana is getting support at 4236 and below same could see a test of 4215 level, And resistance is now likely to be seen at 4288, a move above could see prices testing 4319.
Chana on NCDEX settled down by 0.44% at 4258 due to weak demand and abundant supplies in the physical market. Area under chana is lagging and supplies are dwindling in the country due to lower imports and good consumption. Chana acreage is at 91.6 lakh ha, down 10.6% compared to last year acreage.
The govt have extend import curbs on all varieties of peas by 3 months until the end of December. Chana stocks are diminishing due to higher domestic consumption and lower imports of chana due to 60% import duty since March 2018.
Chana exports from the country increased by 207% to 1.61 lt on year for Apr-Oct while imports down by 88% for same period. The National Agricultural Co-operative Marketing Federation of India Ltd (NAFED) continued to offload Chana in the physical markets.
NAFED sold 83,454 tons of gram in Andhra Pradesh and 42,049 tons in Telangana. Area under chana has decreased drastically in Maharashtra and Karnataka. Area under chana is lower by 11.32lakh ha so far on all India basis.
As season is heading towards an end now, any huge make up is unlikely now. Condition for rabi crop is not good and fear of lower rainfall is increasing for next kharif season. So, all pulses are likely to move up in the second half of the year. Farmers had covered over 100 lakh ha area last year.
Trading Ideas:
–Chana trading range for the day is 4215-4319.
–Chana settled down due to weak demand and abundant supplies in the physical market.
–Area under chana is lagging and supplies are dwindling in the country due to lower imports and good consumption.
–NCDEX accredited warehouses Chana stocks dropped by 20 tonnes to 8905 tonnes.
–In Delhi spot market, chana dropped by 24.6 Rupees to end at 4178.75 Rupees per 100 kgs.
Courtesy: Kedia Commodities
Source: Commodityonline.com
