Turmeric yesterday we have seen that market has moved 1.51% as overseas demand for the new season crop outweighed fresh supplies and estimates of higher output. Buying is good from the overseas and local buyers.
Fresh supplies have started coming in spot but it is not weighing on sentiment because of high moisture content.
Supplies from the new season crop have started coming in the spot market in small quantities and are likely to improve in coming days.
Turmeric cultivation in India usually starts by the end of May and continues until August and a lengthy harvesting season begins in January.
Higher production prospects and better stocks could however keep pressure on the market sentiments as markets trade with high volatility.
Good Monsoon reports in AP has reportedly keeping the sowing activities proper.
The area sown would however depend on market rates and if falling trend continues, traders expect the sowing area may fall as farmers may shift to other lucrative crops like cotton, soybean etc.
In Nizamabad, a major spot market in AP, the price ended at 4733.35 rupees gained by 25.9 rupees. Market has opened at 4638 & made a low of 4610 versus the day high of 4736.
The total volume for the day was at 5390 lots and the open interest was at 10525.Support for Turmeric is at 4625 below that could see a test of 4555.
Resistance is now seen at 4751 above that could see a resistance of 4807.
Trading Ideas:
Turmeric trading range is 4555-4807.
Turmeric rose as overseas demand for new season crop outweighed fresh supplies
Fresh supplies have started coming in spot but it is not weighing on sentiment because of high moisture content
Supplies from the new season crop have started coming in the spot market in small quantities
In Nizamabad, a major spot market in AP, the price ended at 4733.35 rupees gained by 25.9 rupees.
Courtesy: Kedia Commodities
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