Ref. Soya oil yesterday settled down -0.1% at 663.15 in the wake of weak demand of soyameal and soya oil in local mandies along with possibility of strong sowing of kharif crop in the current year. Hopes of some increase in soyoil demand in July due to Ramadan supported market sentiment. As per the latest release from SOPA ( Soya Processors Association) , the total exports of soyameal in May was reported at 0.97 lakh tonnes against 1.39 lakh tonnes that was reported in the last year of the same month. Trades also stated that weak demand of soya oil in local mandies due to extreme conditions in the Central and Northern region also pressurize the soyabean crushing demand in the near term. Moreover, the possibility of strong soyabean sowing in the current year might also lead to some elling in soyabean market. The sources already suggested that the overall sowing of soybean is likely to witness some jump in the current year as farmers have received strong returns from the soya bean crop in the current year. At the Indore spot market in Madhya Pradesh, soyoil was steady at 684 rupees per 10 kgs. Technically market is under long liquidation as market has witnessed drop in open interest by -2.42% to settled at 88050 while prices down -0.65 rupee, now Ref. Soya oil is getting support at 660.5 and below same could see a test of 657.8 level, And resistance is now likely to be seen at 667.1, a move above could see prices testing 671.

Trading Ideas:

Ref. Soya oil trading range for the day is 659-671.

Ref soyaoil ended with losses in the wake of weak demand of soyameal and soya oil in local mandies

Hopes of some increase in soyoil demand in July due to Ramadan supported market sentiment.

Sources stated that weak demand of soya oil in local mandies due to extreme conditions also pressurize the prices

At the Indore spot market in Madhya Pradesh, soyoil was steady at 684 rupees per 10 kgs.