Jeera settled down -0.21% at 12835 due to weak local demand, good progress of sowing and favourable weather. Demand is not improving as expected because the area under cultivation is expected to expand and crop prospects looked better. The spot prices also supported by fragile carryover stocks in major mandies. The latest data c reveals that the total carryover stocks of jeera are currently estimated at 8 lakh bags against 10 bags of the last year. Therefore, receding carryover stocks in the major mandies of Gujarat have provided steady support to physical market. Also worrying that the sowing activity would not be very enthusiastic given that the prices have witnessed a sizeable drop over the year. Conditions for sowing reportedly good in Gujarat and Rajasthan and cool weather being good for the crop growth. In Unjha mandi ~8000 bags arrival was seen and demand remained at ~7500 bags. Favourable weather conditions, too, are aiding higher planting of jeera this year. However, market sources say that the area under jeera could drop this year as some farmers are expected to diversify to other crops such as pulses. Sowing of jeera has gathered pace in Gujarat and a clear picture will be available in a week or two. Total carryover stocks are currently estimated at 7 lakh bags against 10 bags last year. In Unjha, a key spot market in Gujarat, jeera edged down by -39.7 rupees to end at 12800 rupee per 100 kg. Technically market is under fresh selling as market has witnessed gain in open interest by 5.61% to settled at 3951 while prices down -27.5 rupee, now Jeera is getting support at 12769 and below same could see a test of 12703 level, And resistance is now likely to be seen at 12897, a move above could see prices testing 12959.

Trading Ideas:

Jeera trading range for the day is 12702-12956.

Jeera ended with losses due to weak local demand, good progress of sowing and favourable weather.

Demand is not improving as expected because the area under cultivation is expected to expand and crop prospects looked better

NCDEX accredited warehouses jeera stocks dropped by 60 tonnes to 528 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged down by -39.7 rupees to end at 12800 rupee per 100 kg.