Jeera yesterday settled down -1.92% at 13390 due to increased supplies in the local market while good rainfall also weighed on sentiment. Jeera is a winter crop sown from October and farmers depend on rains to moisten the land for sowing. Daily spot supplies are at 8,000-10,000 bags of 60 kg each in the Unjha market, still higher than expected. The total Jeera production in the country is estimated around 34-35 lakh bags in the current year, up almost 1-2 lakh bags from the last year. This is mainly due to sowing in Rajasthan and better recovery of Jeera from Gujarat. Moreover, hedgers selling in futures market in order to protect their long position in physical market also might add selling pressure in Jeera market. The arrivals have been sliding in last few weeks as the peak supply season gets over. The commodity normally witnesses a flood of fresh supplies in March-May and the arrivals tend to slide thereafter. The trend is similar this year as well. Traders are expecting that the total production of Jeera in the current year is expected to be around 34 -35 lakh bags, up 1 lakh bags from the last year. This is mainly due to better crop productivity in some areas of Gujarat and quality is poor in Rajasthan. The counter may witness some bargain buying on some export orders in long term as supply constraints exits in Syria, Turkey. Good sowing reports from Gujarat and Rajasthan keeps the production prospects good. In Unjha, a key spot market in Gujrat, jeera edged up by 17.65 rupees to end at 13785 rupee per 100 kg. Now Jeera is getting support at 13262 and below same could see a test of 13133 level, And resistance is now likely to be seen at 13607, a move above could see prices testing 13823.

Trading Ideas:

Jeera trading range for the day is 13138-13828.

Jeera dropped due to increased supplies in the local market while good rainfall also weighed on sentiment.

Daily spot supplies are at 8,000-10,000 bags of 60 kg each in the Unjha market, still higher than expected.

NCDEX accredited warehouses jeera stocks gained by 9 tonnes to 8442 tonnes.

In Unjha, a key spot market in Gujrat, jeera edged up by 17.65 rupees to end at 13785.3 rupee per 100 kg.