Commodity Trading Tips for Soyabean by Kedia Commodity
Soyabean on NCDEX settled up 0.23% at 3057 on account of diminishing supplies in the domestic market. Meanwhile, soybeans ticked higher in overseas markets, but slowing demand for US shipments kept a lid on the market. The US Department of Agriculture said weekly export sales of soybeans fell to 225,000 tonnes (old-crop and new-crop combined), below trade forecasts for 400,000 to 800,000 tonnes. Soybean arrivals in local mandis are expected to gather pace after May 20. Earlier, data published by SOPA showed. Soybean arrivals in local mandis during March fell by 23% compared to previous month as farmers were reluctant to sell the crop at lower prices. Daily arrivals in Madhya Pradesh stood at around 45,000-50,000 bags, in Maharashtra 45,000-50,000 bags and in Rajasthan around 10,000-15,000 bags. As per latest SEA data, Soymeal exports from the country jumped by 137% to 916,306 tonnes in 2016/17 Vs 387,298 tonnes during last financial year 2015/16, however, m/m the exports have declined to 107,059 tonnes in Mar compared to 207,977 tonnes in Feb 2017. Soybean auction prices in local mandis are expected to trade in range of Rs 2,800-3,050 per quintal next month. Plant delivery prices may trade in range of Rs 3,090-3,100 per quintal. Technically market is under short covering as market has witnessed drop in open interest by -0.24% to settled at 123300 while prices up 7 rupees, now Soyabean is getting support at 3039 and below same could see a test of 3021 level, And resistance is now likely to be seen at 3072, a move above could see prices testing 3087.
Soyabean trading range for the day is 3021-3087.
Soyabean prices gained on account of diminishing supplies in the domestic market.
Soybean arrivals in local mandis are expected to gather pace after May 20.
NCDEX accredited warehouses soyabean stocks dropped by 1677 tonnes to 169103 tonnes.
At the Indore spot market in top producer MP, soybean gained 18 Rupees to 3107 Rupees per 100 kgs.