Mustardseed yesterday traded with the positive node and settled 1.48% up at 3759 due to falling arrivals from the producing regions. A lot will depend upon the monsoon progresses in India. Because it is one of the most important factors which will determine the India's Kharif oilseeds production. Thus long term traders will have to wait for just 10 days to rightly judge the monsoon progress and then bet on the long term outlook. On the supply side, arrivals were also remained sluggish at major mandies due to poor production estimates of the current year. Some of the traders are still believe that Indian mustard seed production is likely to be much lower at 52 lakh tonnes against 68 lakh tonnes that were reported by SEA of India. As per 3rd Advance Estimates of Crop Production for 2011-12 released by Ministry of Agriculture which shows production estimates of rape/mustard seed of 6.96 million tonnes which is much higher as compared to COOIT's figure of 6.03 million tonnes. The total arrivals of mustard seed increased by 1000 bags at 1.19 lakh bags in major mandies. In the Sri Ganganagar spot market in Rajasthan the price edged up by 35 rupee to 3750 rupees per 20 kgs. In yesterday's trading session Mustardseed has touched the low of 3710 after opening at 3710, and finally settled at 3759. For today's session market is looking to take support at 3725.7, a break below could see a test of 3692.3 and where as resistance is now likely to be seen at 3776.7, a move above could see prices testing 3794.3.

Trading Ideas:

RM Seed trading range for the day is 3692-3794.

Mustard seed rose due to falling arrivals from the producing regions.

Arrivals were remained sluggish at major mandies due to poor production estimates of the current year.

NCDEX accredited warehouses mustard seed stocks gained by 243 tonnes to 132188 tonnes.

In the Alwar spot market in Rajasthan the price edged up by 35 rupee to 3750 rupees per 20 kgs.