Jeera settled up 1.31% at 12922.5 on export demand though ongoing sowing and prospects of a better crop capped the gains. Demand is not improving as expected because the area under cultivation is expected to expand and crop prospects looked better. No strong report emerge for Jeera even as good sowing reports and cool weather in growing states kept market sentiments slight weak. With sowing reportedly proper in the growing states of Gujarat and Rajasthan and cool weather being good for the crop growth, the uptrend may be limited. However with prices being at very low levels, any rise in export demand may prevent prices from falling a lot. In Unjha mandi ~10000 bags arrival was seen and demand remained at ~8000 bags. Sources indicated that the sowing is turning normal after weather disturbances in Gujarat and some southern states. Also worrying that the sowing activity would not be very enthusiastic given that the prices have witnessed a sizeable drop over the year. The latest data 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. In Unjha, a key spot market in Gujarat, jeera edged down by -100.35 rupees to end at 12676.3 rupee per 100 kg. Technically market is under fresh buying as market has witnessed gain in open interest by 17.58% to settled at 4875 while prices up 167.5 rupee, now Jeera is getting support at 12808 and below same could see a test of 12693 level, And resistance is now likely to be seen at 12980, a move above could see prices testing 13037.

Trading Ideas:

Jeera trading range for the day is 12682-13026.

Jeera gained on export demand though ongoing sowing and prospects of a better crop capped the gains.

Demand is not improving as expected because the area under cultivation is expected to expand

NCDEX accredited warehouses jeera stocks dropped by 54 tonnes to 474 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged down by -100.35 rupees to end at 12676.3 rupee per 100 kg.