Ref Soyaoil yesterday traded with the negative node and settled -0.33% down at 735.7 due to profit booking tracking weakness in spot market demand. As per latest release from Central Organisation for Oil Industry and Trade (COOIT), India’s total oilseed output is likely to augment by 2.2 % to 26.01 million tonnes in the current crop year. COIITS estimated the total mustard seed production at 6.03 million tonnes, down 12.6% to 6.03 million tonnes in the year to June 2012. Indian government did not make any change in the existing import duty structure of the edible oils. Soy oil import would remain at 10 LT unchanged from last year. Indonesia may produce 265 LT, up by 14 Lt. Malaysia monthly production March on ward would decline. WASDE report released by the USDA was also neutral to slightly bearish as the US Soybean Oil stocks are projected at 2.4 billion pounds, up 100 million from last month. World soybean oil is likely to remain up from last year’s figure. World vegetable oil production is also expected to increase substantially from last year’s figure. At the Indore spot market soyoil edged up by 1.25 rupee to 735 rupees 10 kgs. In yesterday's trading session Ref Soyaoil has touched the low of 734.2 after opening at 737, and finally settled at 735.7. For today's session market is looking to take support at 733.4, a break below could see a test of 731 and where as resistance is now likely to be seen at 738.9, a move above could see prices testing 742.1.

Trading Ideas:

Ref soyaoil trading range for the day is 731-742.1.

Ref soyaoil ended lower due to profit booking tracking weakness in spot market demand

India’s total oilseed output is likely to augment by 2.2 % to 26.01 million tonnes in the current crop year

Indian government did not make any change in the existing import duty structure of the edible oils.

At the Indore spot market soyoil edged up by 1.25 rupee to 735 rupees 10 kgs.