Ref Soyaoil yesterday traded with the positive node and settled 0.49% up at 697.4 on late short covering tracking recovery in spot demand. A strong rupee makes edible oil imports cheaper and at the same time trims returns of oilmeal exporters. Vegetable oil imports dropped 11 per cent in November as the country had huge stocks in various ports and the pipeline in November. In fact, the situation is likely to lead to some dormancy in imports this month too, according to the Solvent Extractors association. A data put out by the association projected November imports of vegetable oils at a little over seven lakh tonnes in the first month of the oil year against 8.55 lakh tonnes during the same period a year ago. The edible oil year runs from November to October. India meets more than half of its edible oil requirement through imports, which largely constitute palm oil. At the Indore spot market soyoil edged down -2.5 rupees to 711.5 rupees 10 kg. In yesterday's trading session Ref Soyaoil has touched the low of 688.7 after opening at 696, and finally settled at 697.4. For today's session market is looking to take support at 691.1, a break below could see a test of 684.9 and where as resistance is now likely to be seen at 701.2, a move above could see prices testing 705.1.

Trading Ideas:

Ref soyaoil trading range for the day is 684.87-705.07.

Ref soyoil ended with good gains on late short covering tracking recovery in spot demand

A strong rupee makes edible oil imports cheaper and at the same time trims returns of oilmeal exporters.

Vegetable oil imports dropped 11% in November as the country had huge stocks in various ports and the pipeline in November

At the Indore spot market soyoil edged down by -2.5 rupee to 711.5 rupees 10 kgs.