Commodity Trading Tips for Jeera by Kedia Commodity

Ajay Kumar Kedia 10 June 2013

Jeera Jeera yesterday settled down -0.21% at 13330 fell on higher supplies in the local market and subdued domestic demand, though some export inquiries limited the downside. Demand from local buyers and exporters is good and is seen supporting prices. The total arrivals remained unchanged at 10,000 bags, while demand was seen around 13,000 bags against 12,000 bags. Traders are expecting that the total production of Jeera in the current year is expected to be around 34 -35 lakh bags, up 1 lakh bags from the last year. This is mainly due to better crop productivity in some areas of Gujarat and quality is poor in Rajasthan. The counter may witness some bargain buying on some export orders in long term as supply constraints exits in Syria, Turkey. Better crop expectations and high arrivals in the market may turn the trend in near term. Good sowing reports from Gujarat and Rajasthan keeps the production prospects good. The trend in medium to long term trend looks bullish as exports are expected to pick up in coming months amidst lower production reports in Turkey and Syria. As per market sources, the spot mandies of jeera have reported the record arrivals of around 2.50 lakh bags in the last week. In Unjha, a key spot market in Gujarat, jeera edged up by 31.45 rupees to end at 13504 rupee per 100 kg. Technically market is under fresh selling as market has witnessed gain in open interest by 0.53% to settled at 16941 while prices down -27.5 rupee, now Jeera is getting support at 13273 and below same could see a test of 13215 level, And resistance is now likely to be seen at 13393, a move above could see prices testing 13455.