Commodity Trading Tips for Chana by Kedia Commodity

Ajay Kumar Kedia 19 August 2013

Chana Chana yesterday settled up 0.65% at 2954 on an expected rise in spot demand though ample supplies and a likely rise in production of summer-sown pulses kept the upside limited. Retail demand for chana flour is likely to pick up in the coming days, ahead of festivals such as Rakshabandhan and Ganesh Chaturthi. The progress on the kharif pulses harvest front is impressive. As per latest release from Ministry of Agriculture, the acreage under pulses has shot up by 26.21% to 79.5 lakh hectares. This is mainly due to strong sowing of Tur and Urad in Maharashtra. The total output of Chana is likely to be 8.57 million tonnes in the current year. This marks a gain of 11.29% compared to the last year's production of 7.57 million tonnes. Rabi Pulses output is likely to be 12.09 million tonnes, up 9.61% on the year. The traders are eying moong arrivals to start from August end from Rajasthan. However, heavy rains in Maharashtra could hurt the output of Tur and Urad. A good pick up is also being expected in demand for Masoor in coming days. The area sown under pulses for 2013-14 kharif crop touched 79.50 lakh hectares (lh) as on 02 August 2013 higher when compared to 62.99 lh during the same period last year, as per the data released by the Ministry of Agricultures. India's food grain production in 2012-13 year is estimated at 255.36 mn tons, lower when compared to 259.29 mn tons recorded in the last year. In Delhi spot market, chana gained by 56 rupee to end at 3100 rupee per 100 kgs. Now Chana is getting support at 2924 and below same could see a test of 2895 level, And resistance is now likely to be seen at 2979, a move above could see prices testing 3005.