MCX Natural Gas under fresh buying; Support seen at 201.5
MCX Copper under fresh buying; Resistance seen at 462.3
MCX Zinc under fresh buying; Support seen at 196.3
MCX Nickel under fresh buying; Support seen at 951.4
MCX Aluminium likely to trade between 144.3-147.7 levels
Technically Mentha Oil market is under fresh selling as market has witnessed gain in open interest by 1.28% to settled at 710 while prices down 8.4 rupees.
Now MCX Mentha Oil is getting support at 1583.9 and below same could see a test of 1565.3 level, And resistance is now likely to be seen at 1624.8, a move above could see prices testing 1647.1.
Mentha Oil on MCX settled down by 0.52% at 1602.4 due to low demand at major physical centers. Pressure also seen amid expectations of higher acreage under mint in 2019 due to lucrative prices throughout last year. Export demand of oil in global market is likely to be improved due to recovery in currency which is supportive for prices.
The surge in output is likely due to buoyancy in planting intentions, not only in the traditional pockets of Uttar Pradesh and Bihar in recent days, but also in Madhya Pradesh. Mentha sowing may witness a huge jump this year because of high returns farmers experienced the whole of last year.
Production of mentha oil is expected to rise to 48,000-50,000 tn in 2019 from 33,000-35,000 tn last year. This year, sowing of the crop started towards the end of last month, a couple of weeks later than usual due to extended cold weather in all major growing regions.
Official data on mentha, with respect to sowing or production and export, is not available as trade in the commodity is tightly controlled by a few. Speculation that German major BASF SE has re-started deliveries of synthetic mentha oil will also be a deterrent to prices.
BASF is completing its previous orders which were left pending after the manufacturing unit caught fire last year.Mentha Oil spot at Sambhal closed at 1720.90 per 1kg. Spot prices was up by Rs.12.50/-.
Trading Ideas:
–Mentha Oil trading range for the day is 1565.3-1647.1.
–Mentha Oil spot at Sambhal closed at 1720.90 per 1kg. Spot prices was up by Rs.12.50/-.
–Mentha Oil dropped due to low demand at major physical centers.
–Pressure also seen amid expectations of higher acreage under mint in 2019 due to lucrative prices throughout last year.
–Mentha sowing may witness a huge jump this year because of high returns farmers experienced the whole of last year.
Courtesy: Kedia Commodities
Source: Commodityonline.com
