Soyabean settled up 0.44% at 3776 tracking firmness in spot demand on thin soybean supplies in the local spot markets. Weak overseas markets are making buyers cautious in the domestic markets. Overseas markets are on decline due to better crop prospects in South American countries like Brazil and Argentina. But traders in domestic markets do not see further downside due to low arrivals. Farmers delivered around 6000 bags of 100 kg each to Indore. Across Madhya Pradesh, arrivals were 200,000 bags of 100 kg each. Arrivals of soyabean in Rajasthan state dropped by -120000 bags of 100kg each to 50000 bags of 100kg each. Chicago soybean futures did show a dip in the market due to excess carryover stock and good prospects from Latin American companies. Soil-moisture levels in Argentina are aiding growing crops, while scattered rains this week will maintain adequate moisture. North-central parts of Brazil had rain over the weekend that helped boost moisture there. Prices were mostly pressured by the good start to the soybean growing season in South America. The market saw significant support due to signs of strong export demand for U.S. soybeans. World soybean 2013-14 production is estimated up 5% year-on-year basis at 285 mn tons, said International Grains Council (IGC) in its November report. At the Indore spot market in top producer MP, soybean gained  22 rupee to 3858 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -0.25% to settled at 124090 while prices up 16.5 rupee, now Soyabean is getting support at 3739 and below same could see a test of 3702 level, And resistance is now likely to be seen at 3796, a move above could see prices testing 3816.

Trading Ideas:

Soyabean trading range for the day is 3699-3813.

Soyabean ended with gains tracking firmness in spot demand on thin soybean supplies in the local spot markets

Weak overseas markets are making buyers cautious in the domestic markets.

NCDEX accredited warehouses soyabean stocks gained by 70 tonnes to 2201 tonnes.

At the Indore spot market in top producer MP, soybean gained  22 rupee to 3858 rupee per 100 kgs.