Soyabean yesterday settled down -1.02% at 3635 hit by a pick-up in sowing due to ample rainfall in central India amid weak exports demand for soymeal. Good production hopes this year are making buyers cautious. Early and timely sowing this season may give way to better yield and increased production. Soybean sowing is nearing completion in most growing areas and on all India level around 80-85% sowing is over. Arrivals were down compared with previous days as rains disrupted the trade in many Madhya Pradesh mandis. Arrivals of soyabean in Madhya Pradesh state dropped by -5000 bags of 100kg each to 65000 bags of 100kg each. As per the latest release from the United States Department of Agriculture (USDA ) , the total global production of soyabean in 2013-14 is projected marginally down from the last month to reported at 285.30 million tonnes. This is mainly due to weak supplies from Brazil. The global soyabean consumption for 2013/14 is reduced to 239.17 million tonnes due to weak crushing demand. Soybean acreage in the country is expected rise on favourable monsoon rain fall. Good monsoon followed by a rise in soybean sowing is expected to pressurise the commodity movement to some extent in the long term. Soybean acreage in India is expected to go up by 5-7% this year, according to Soybean Processors Association of India (SPAI). Technically market is under long liquidation as market has witnessed drop in open interest by -3.13% to settled at 36850 while prices down -37.5 rupee, now Soyabean is getting support at 3616 and below same could see a test of 3596 level, And resistance is now likely to be seen at 3665, a move above could see prices testing 3694.

Trading Ideas:

Soyabean trading range for the day is 3597-3695.

Soyabean dropped hit by a pick-up in sowing due to ample rainfall in central India amid weak exports demand for soymeal

Early and timely sowing this season may give way to better yield and increased production.

NCDEX accredited warehouses soyabean stocks gained by 90 tonnes to 23027 tonnes.

At the Indore spot market in top producer MP, soybean dropped -12 rupee to 3676 rupee per 100 kgs.