Soyabean yesterday settled down -0.72% at 3727 due to steady sowing progress of kharif crop in major producing states along with bearish cues from international market. Moreover, bearish international cues also added some pressure on the commodity. As per the latest release from 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. Arrivals of soyabean in Madhya Pradesh state gained by 30000 bags of 100kg each to 110000 bags of 100kg each. Arrivals of soyabean in Maharashtra state gained by 5000 bags of 100kg each to 45000 bags of 100kg each. However, 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). Last year, the total area under the soybean crop in Madhya Pradesh was 5.813 mn ha while Maharashtra cultivated in an area of 3.212 mn ha, according to SOPA. Favorable monsoon conditions may help in increasing sown area under kharif oilseeds including soybean in the country. At the Indore spot market in top producer MP, soybean dropped -78 rupee to 3810 rupee per 100 kgs. Now Soyabean is getting support at 3695 and below same could see a test of 3664 level, And resistance is now likely to be seen at 3764, a move above could see prices testing 3802.

Trading Ideas:

Soyabean trading range for the day is 3664-3802.

Soyabean ended with losses due to steady sowing progress of kharif crop along with bearish cues from international market.

The global soyabean consumption for 2013/14 is reduced to 239.17 million tonnes due to weak crushing demand.

NCDEX accredited warehouses soyabean stocks gained by 81 tonnes to 22937 tonnes.

At the Indore spot market in top producer MP, soybean dropped -78 rupee to 3810 rupee per 100 kgs.