MCX Aluminium under fresh buying; Resistance seen at 135.6
MCX Mentha Oil under fresh selling; Support seen at 1470.7
MCX Cotton under long liquidation
Nickel market under short covering; Support seen at 834.9
NCDEX Jeera likely to move in a range of 16185-16505
Technically Chana market is under short covering as market has witnessed drop in open interest by 1.87% to settled at 44100 while prices up 18 rupees.
Now NCDEX Chana is getting support at 4201 and below same could see a test of 4185 level, And resistance is now likely to be seen at 4234, a move above could see prices testing 4251.
Chana on NCDEX settled up by 0.43% at 4216 on short-covering after prices dropped due to weak demand and abundant supplies in the physical market. Chana acreage registered a fall of 10% on year to 9.6 million hectares due to lower monsoon rains in major producing centres.
Last year, the sowing stood at 10.66 million hectares, agriculture ministry data showed. During 2018, India received 9% below normal rains which impacted rabi sowing operations.
Maharashtra reported biggest fall in chana sowing and acreage slipped to 1.29 million hectare from 1.95 million hectares a year ago due to lack of rains and moisture stress in key producing areas of the state.
Madhya Pradesh, Andhra Pradesh, Karnataka, Jharkhand also reported lower area, data showed. 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.
Trading Ideas:
–Chana trading range for the day is 4185-4251.
–Chana gained on short-covering after prices dropped due to weak demand and abundant supplies in the physical market.
–Chana acreage registered a fall of 10% on year to 9.6 million hectares due to lower monsoon rains in major producing centres.
–NCDEX accredited warehouses Chana stocks gained by 202 tonnes to 8824 tonnes.
–In Delhi spot market, chana dropped by 10.6 Rupees to end at 4168.15 Rupees per 100 kgs.
Courtesy: Kedia Commodities
Source: Commodityonline.com
