Mustardseed yesterday traded with the negative node and settled -0.46% down at 4088 due to profit booking amid weak spot demand after prices gained helped by lower arrivals in a lean season and lower stocks. Scattered rains were seen in few parts of north India. Around 65 Lakh tons of RMseed may be produced. Physical market demand is sideways these day. However it is expected that some increment may be seen in near future in demand. Data released by the government shows gradual improvement in the sowing progress. The oilseed extraction industry is expecting a 20 per cent rise in rabi output this year. Mustard seed output is pegged at 6.5 million tonnes against last year’s 5.5 million tonnes, as late revival in monsoon has created a conducive atmosphere for rabi plantings. The sowing of mustard oilseed, the major rabi oilseed crop in the country, has begun on a sluggish note. Mustard seed acreage is still down by 4.35 lakh hectares as of November 15, 2012 as against last year. Mustard sowing area will be higher this year as the moisture level is good. Maharashtra, Gujarat and Rajasthan will benefit from the late monsoon as far as the rabi oilseed production is concerned. In the Sri Ganganagar spot market in Rajasthan the price edged down by -12.5 rupee to 4225 rupees per 20 kgs. In yesterday's trading session Mustardseed has touched the low of 4061 after opening at 4094, and finally settled at 4088. For today's session market is looking to take support at 4060, a break below could see a test of 4032 and where as resistance is now likely to be seen at 4117, a move above could see prices testing 4146.

Trading Ideas:

RM Seed  trading range for the day is 4032-4146.

Mustardseed ended lower due to profit booking amid weak spot demand

The sowing of mustard oilseed, has begun on a sluggish note.

NCDEX accredited warehouses mustard seed stocks dropped by 260 tonnes to 25521 tonnes.

In the Sri Ganganagar spot market in Rajasthan the price edged down by -12.5 rupee to 4225 rupees per 20 kgs.