Commodity Trading Tips for Jeera by Kedia Commodity

JeeraJeera yesterday settled down -2.88% at 12830 tracking bearish local markets amid higher domestic supplies and on a good monsoon. Further, high moisture content in the new crop also pressurized the Jeera prices. Demand remains poor in the manids amidst thin trading activities due to the ongoing rains in Gujarat and Rajasthan. Even though export queries are there, yet till the skies clear up, the trading activities may not pick up strongly. In Unjha mandi ~7500 bags arrival was seen and demand remained at ~6000 bags. Jeera prices are trading in a tight range after witnessing some selling in the middle of last week. Prices are expected to hold on amid good overseas demand and falling arrivals. Demand is moderating in local markets now but prices continue to linger just under their four-month highs as the sentiments still remain positive amid favorable global offtake. Spot Jeera markets are still witnessing a good activity amid renewed buying interest. The futures have also witnessed good upside in last few days and further rise is possible given the persistent worries over supplies from Syria in world markets. Heavy rainfall has been witnessed in few regions Gujarat though no major impact of the same has been seen so far. Higher domestic supplies, lower domestic demand, raising expectations of better sowing in the major jeera growing areas were seen pressuring the commodity prices to certain extent. Jeera exports increased by 76% to 79,900 tons in 2012-13 valued at Rs. 1093.17 crore from 45,500 tons recorded in the previous year. In Unjha, a key spot market in Gujarat, jeera edged down by -113.1 rupees to end at 13475 rupee per 100 kg. Now Jeera is getting support at 12715 and below same could see a test of 12600 level, And resistance is now likely to be seen at 13060, a move above could see prices testing 13290.

Trading Ideas:

Jeera trading range for the day is 12618-13308.

Jeera edged lower tracking bearish local markets amid higher domestic supplies and on a good monsoon.

Further, high moisture content in the new crop also pressurized the Jeera prices.

NCDEX accredited warehouses jeera stocks gained by 36 tonnes to 6460 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged down by -113.1 rupees to end at 13475 rupee per 100 kg.