Soyabean yesterday settled up 0.15% at 3786 on improved soy product demand, low supplies and overseas market support. Both soymeal and soyoil have witnessed some improvement in demand. Supplies did not show any major movement but was slightly up in many physical markets. Arrivals of soyabean in Madhya Pradesh state gained by 5000 bags of 100kg each to 45000 bags of 100kg each. Arrivals of soyabean in Maharashtra state dropped by 15000 bags of 100kg each to 25000 bags of
100kg each. Arrivals of soyabean in Rajasthan state dropped by 3000 bags of 100kg each to 17000 bags of 100kg each. Chinese soybean imports might soar to 68 million metric tons in the 2013-14 marketing year (August-July), up from 58.2 million in the previous season. China's domestic soybean production will remain constrained by plantings, which are projected to decrease longer-term, squeezed by the country's land constraints. With consumption by feed groups rising by some 3% a year, more soybeans will need to be imported. Planting of soyabean is set to begin in the key producing State of Madhya Pradesh over the next couple of days as monsoon advances further into parts of central India. Last year, despite the delayed and erratic monsoon, soyabean was planted on a record 10.6 million hectares (mh) - a marginal increase over previous year's 10.3 mh. Soyabean acreage in Madhya Pradesh stood at 6.158 mh in kharif 2012 and the output was estimated at 7.54 mt. At the Indore spot market in top producer MP, soybean gained 19 rupee to 3919 rupee per 100 kgs. Now Soyabean is getting support at 3773 and below same could see a test of 3761 level, And resistance is now likely to be seen at 3808, a move above could see prices testing 3831.

Trading Ideas:

Soyabean trading range for the day is 3208-3270.

Soybean prices ended up on improved soy product demand, low supplies and overseas market support.

Supplies did not show any major movement but was slightly up in many physical markets.

NCDEX accredited warehouses soyabean stocks gained by 1338 tonnes to 17190 tonnes.

At the Indore spot market in top producer MP, soybean gained 25 rupee to 3900 rupee per 100 kgs.