Commodity Trading Tips for Turmeric by Kedia Commodity

Turmeric on NCDEX settled up by 2.94% at 6444 on rising exports demand at the spot market. On the export front, country exported about 82,115 tons during April-December period, up by 28% compared to last year exports of 64,105 tons. Though, some gains were capped as the turmeric arrivals in the country are higher at 115,205 tons during March 1-20 compared to 30,945 tons during previous month. Production in the ongoing season is expected to increase mainly on higher sowing area and favourable weather conditions in Maharashtra, Telangana and Andhra Pradesh etc. According to trade sources turmeric output is expected to be around 7.5-8 million bags. India's Apr-Sept turmeric export stood at 59,000 ton up 47% on year, according to Spices Board data. Demand for new turmeric increased. Traders expect the prevailing turmeric price to be maintained for a few more days. At the Erode Turmeric Merchants Association sales yard, finger turmeric sold at Rs. 5,689-8,515 a quintal, while the root variety sold at Rs. 5,506-7,625. At the Regulated Marketing Committee, finger turmeric sold at Rs. 6,449-7,786 a quintal and the root variety at Rs. 6,139-6,669. At the Erode Cooperative Marketing Society finger turmeric sold at Rs. 7,256-8,169 and the root variety at Rs. 6,399-6,955. Turmeric output is seen higher at 7 million bags thanks to higher sowing and favorable weather conditions. In Nizamabad, a major spot market in AP, the price ended at 6190 Rupees dropped -22.5 Rupees. Technically market is under short covering as market has witnessed drop in open interest by -4.51% to settled at 11125 while prices up 184 rupees, now Turmeric is getting support at 6306 and below same could see a test of 6168 level, And resistance is now likely to be seen at 6546, a move above could see prices testing 6648.

Trading Ideas:

Turmeric trading range for the day is 6168-6648.

Turmeric prices ended with gains on rising exports demand at the spot market.

Production in the ongoing season is expected to increase mainly on higher sowing area and favourable weather conditions.

NCDEX accredited warehouses turmeric stocks gained by 139 tonnes to 1348 tonnes.

In Nizamabad, a major spot market in AP, the price ended at 6190 Rupees dropped -22.5 Rupees.