Commodity Trading Tips for Turmeric by Kedia Commodity

Turmeric on NCDEX settled up by 0.18% at 6620 on anticipation of rising physical as well as export demand at the spot market. According to trade sources turmeric output is expected to be around 600,000 ton. Retailers are buying as per their requirement while bulk buyers are waiting for further fall in prices. Turmeric crop is in good condition and production is expected to be higher next season. Turmeric output is seen higher at 7 million bags thanks to higher sowing and favourable weather conditions. Turmeric acreage in Telangana and Andhra Pradesh was higher this year as compared last year. India exported about 51,147 ton in 2016-17 until August which is up by 32% compared to last year in the corresponding period of 38,761 ton, as per the data released by commerce ministry. At Erode market arrivals were reported at 2000 quintals, lower by 1000 quintals as against previous day. At Warangal market total arrivals are at 100 bags, lower by 50 bags from previous trading day. At Nizamabad Marketarrivals were reported at 1200 quintals, down by 300 quintals as against previous day. Only fifty per cent of the arrived turmeric was sold at Erode markets. Expecting some fresh upcountry demand,, the traders purchased limited turmeric for their requirement. They selected only the fine and medium variety turmeric. Around 3,400 bags arrived for sale. In Nizamabad, a major spot market in AP, the price ended at 7292.85 rupees dropped -19.65 rupees.Technically market is under fresh buying as market has witnessed gain in open interest by 0.12% to settled at 12840 while prices up 12 rupee, now Turmeric is getting support at 6600 and below same could see a test of 6578 level, And resistance is now likely to be seen at 6644, a move above could see prices testing 6666.

Trading Ideas:

Turmeric trading range for the day is 6578-6666.

Turmeric prices gained on anticipation of rising physical as well as export demand at the spot market.

According to trade sources turmeric output is expected to be around 600,000 ton.

Retailers are buying as per their requirement while bulk buyers are waiting for further fall in prices.

In Nizamabad, a major spot market in AP, the price ended at 7292.85 rupees dropped -19.65 rupees.