Commodity Trading Tips for Jeera by KediaCommodity

Ajay Kumar Kedia 25 July 2014

Jeera Jeera settled down -0.44% at 11395 on account of sluggish domestic and exports demand against adequate supply. Further, offloading of positions by speculators against adequate stocks position mainly kept jeera prices lower. Exporters reportedly waited for some dips in prices before initiating fresh demand in the mandis. In Mehsana sources reported arrivals at 7000 quintals, down by 3000 quintals as against previous day. In Rajkot sources reported arrivals at 450 quintals, down by 30 quintals from previous day's arrivals. Comfortable supplies on the back of record output along with good carryover stocks amid weak demand is limiting the upside in prices. Traders are expecting that exports of the commodity should rise in coming months amidst reports of lower production in Turkey and geopolitical crisis Syria. As per the latest data release by Gujarat Agriculture Board, the total sowing acreage of Jeera in the state has been increased by 1.05 lakh hectares from the last year to reach 4.54 lakh hectares due to favorable weather conditions and strong export demand in local mandies. Traders estimated that the total production of the Jeera is likely to increase by 10 lakh bags to reach around 46 lakh bags in the current year. Exports of Jeera between Apr-Dec 2013 stood at 96,500 tn, up 89% as against 50,944 tn between Apr-Dec 2012. In Unjha, a key spot market in Gujarat, jeera edged down by -54.6 rupees to end at 11590 rupee per 100 kg. Technically market is under long liquidation as market has witnessed drop in open interest by -2.25% to settled at 6003 while prices down -50 rupee, now Jeera is getting support at 11353 and below same could see a test of 11297 level, And resistance is now likely to be seen at 11468, a move above could see prices testing 11527.