Technically Jeera market is under fresh selling as market has witnessed gain in open interest by 5.26% to settled at 9126 while prices down 75 rupees.
Now NCDEX Jeera is getting support at 15930 and below same could see a test of 15835 levels, and resistance is now likely to be seen at 16160, a move above could see prices testing 16295.
Jeera yesterday settled down by 0.47% at 16030 as Cumin exports declined by 1.4% year-on-year to 1.39 lakh tonnes in April-September but are expected to improve in the coming months.
Pressure also seen as adequate stock with traders and farmers may keeping prices under pressure at higher levels. However downside seen limited as domestic demand is now picking up also the export inquiries to support price.
The area under cumin in Gujarat is only 1.71 lakh hectares as against 3 lakh hectares in the same period last year, while in Rajasthan, cumin was sown in 3.20 lakh hectares. Jeera production in Syria and Turkey was limited due to bad weather, which increases demand for Indian cumin.
Exports of spices from India during Apr-Sep declined 8% on year to 780,273 tn, according to data from the Spices Board India. In terms of value, exports rose 3% to 154.6 bln rupees. India exported 77,245 tn of turmeric in Apr-Sep, down 26% on year.
During last two months, the prices were higher compared to last year despite sufficient stocks with traders. Sowing can see drop as farmers preferred to have other crop against Jeera. Weather in key sowing area will be crucial in next few months.
The export of cumin is increasing continuously and in the coming days there are signs of increasing the export of cumin in a big way. In Unjha, a key spot market in Gujarat, jeera edged down by -111.9 Rupees to end at 16066.65 Rupees per 100 kg.
Trading Ideas:
–Jeera trading range for the day is 15835-16295.
–Jeera dropped as Cumin exports declined by 1.4% year-on-year to 1.39 lakh tonnes in April-September but are expected to improve in the coming months.
–However downside seen limited as domestic demand is now picking up also the export inquiries to support price.
–The area under cumin in Gujarat is only 1.71 lakh hectares as against 3 lakh hectares in the same period last year.
–In Unjha, a key spot market in Gujarat, jeera edged down by -111.9 Rupees to end at 16066.65 Rupees per 100 kg.
Courtesy: Kedia Commodities
Source: Comodity Online