Silver market under fresh selling; Support seen at 36929
MCX Crude Palm Oil likely to move in a range of 589.9-600.9
MCX Gold likely to trade in a range between 30263-30773
Ref. Soya Oil under fresh selling; Resistance seen at 743
NCDEX Soyabean under fresh selling; Support seen at 3236
Technically NCDEX Mustard Seed is getting support at 4215 and below same could see a test of 4177 level, And resistance is now likely to be seen at 4284, a move above could see prices testing 4315.
Mustard Seed on NCDEX settled up by 0.93% at 4253 amid higher meal export data. Sellers were hesitant in offerings expecting further rise on hopes of fresh demand from crushing units. Mills may increase crushing during the current month also due to higher margin.
Sale by National Agricultural Co-op Marketing Federation of India (NAFED) kept prices under check. So far, the co-operative agency sold 4,420 ton mustard seed in Haryana and Rajasthan and still holding around stock of around 873,000 ton.
Farmers, stockists and millers are also holding stocks with them. There has been tepid response from industry players in the auction held by NAFED to sell mustard seed stocks at MSP. Mustard seed prices are already ruling much below to MSP at key trading centers which may pull down the futures prices any time in terms of basis correction.
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NAFED has procured about 8.5 lakh tones of mustard seed from different states and now releasing its stocks. Moreover, ongoing sell off in soybean futures also adding pressure to mustard seed prices as of now.
However, losses are likely to be limited due to lower production outlook. Overall production of mustard seed for year 2018-19 is estimated to be lower by 7-8% y/y and stand near about 64 lakh tonnes.
Arrivals of RM seed has been shrinking gradually hovering near about 45000 – 65000 bags of 85kg each in Rajasthan. In Alwar spot market in Rajasthan the prices dropped 64.35 Rupees to end at 4372.65 Rupees per 100 kg.
Trading Ideas:
–Mustard Seed trading range for the day is 4177-4315.
–Mustard Seed prices gained supported amid higher meal export data.
–Sellers were hesitant in offerings expecting further rise on hopes of fresh demand from crushing units.
–NCDEX accredited warehouses mustard seed stocks dropped by 988 tonnes to 31204 tonnes.
–In Alwar spot market in Rajasthan the prices dropped 64.35 Rupees to end at 4372.65 Rupees per 100 kg.
Courtesy: Kedia Commodities
Source: Commodityonline.com
