Rmseed settled up 0.42% at 3809 on bargain-buying driven by an upside in overseas palm oil prices. Indian farmers cultivated rapeseed on 6.07 million hectares as on Nov. 28, compared with 5.72 million hectares a year earlier. Indian farmers had sown 10 per cent more than last year. The weather conditions are quite conducive for the crop cultivation. In the near future the sowing progress will largely determine its prices behavior. The crop in north Indian states like Rajasthan, UP and Haryana is in good crop health brightening the higher production prospects. As per the latest release from Mustard seed Promotion Council (MPC), the total production of mustard seed in the current year is likely to reach 74-75 lakh tonnes against 68 lakh tonnes of the last year. The council stated that favourable crop conditions in Rajasthan, Haryana and Punjab will encourage oilseed productivity levels in the current year. The spot and futures prices were also dampened by comfortable stocks in local mandies. Traders estimated that around 15-16 lakh tonnes of carryover stocks have been reported in major mandies. The market sources suggested that below average temperature in major producing states such as Uttar Pradesh , Rajasthan and Madhya Pradesh will delay the overall formation and harvesting of the oilseed crop in the coming season. In the Alwar spot market in Rajasthan the price gained 10.3 rupee to 3787.7 rupees per 20kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 1.76% to settled at 37530 while prices up 16 rupee, now Rmseed is getting support at 3780 and below same could see a test of 3750 level, And resistance is now likely to be seen at 3832, a move above could see prices testing 3854.

Trading Ideas:

Rmseed trading range for the day is 3748-3852.

Mustard seed ended with gains on bargain-buying driven by an upside in overseas palm oil prices.

Indian farmers cultivated rapeseed on 6.07 million hectares as on now, compared with 5.72 million hectares a year earlier.

NCDEX accredited warehouses mustard seed stocks dropped by 2352 tonnes to 6557 tonnes.

In the Alwar spot market in Rajasthan the price gained 10.3 rupee to 3787.7 rupees per 20kgs.