Cardamom on MCX settled down by -1.75% at 1457.8 tracking weakness in spot demand on profit booking after prices seen supported amid a squeeze in supplies. Harvesting is nearly complete and hence arrivals are unlikely to pick up. Exporters and north Indian dealers have slowed down because of the higher prices. Exports of small cardamom during April-September 2016 have dropped by 20 per cent in volume and 22 per cent in value realisation from that of the same period the last fiscal. Shipments during the first six months of the current financial year stood at 1,625 tonnes valued at Rs. 139.25 crore against 2,026 tonnes valued at Rs. 179.32 crore in the corresponding period in 2015-16, according to Spices Board sources. At auction conducted in Bodi by Cardamom Planters Association (CPA) Santhanpara, 18 tonnes of cardamom arrived and of this 13.8 tonnes were traded. The auction average was at Rs. 1,344 a kg, while the maximum price stood at Rs. 1,451 a kg. Arrivals last week dropped to 338 tonnes from 411 tonnes the week before. The last week auction average moved up to Rs. 1,377.27 a kg from Rs. 1,351.71 the previous week and was vacillating between Rs. 1,351 and Rs. 1,389 a kg. Total arrivals during the season from August 1 to January 21 were at 11,235 tonnes and sales were at 10,670 tonnes. The individual auction average for the season as on January 21 stood at Rs. 1,101.36 a kg. Technically market is under fresh selling as market has witnessed gain in open interest by 34.81% to settled at 763 while prices down -26 rupees, now Cardamom is getting support at 1440.6 and below same could see a test of 1423.3 level, And resistance is now likely to be seen at 1477.6, a move above could see prices testing 1497.3.

Trading Ideas

# Cardamom trading range for the day is 1423.3-1497.3.

# Cardamom prices ended with losses tracking weakness in spot demand on profit booking after prices seen supported amid a squeeze in supplies.

# Harvesting is nearly complete and hence arrivals are unlikely to pick up.

# Exports of small cardamom during April-September 2016 have dropped by 20% in volume and 22% in value realisation from that of the same period the last fiscal.

# Cardamom prices in spot market gained by 2.30 rupees and settled at 1446.80 rupees.