Soybean settled flat as traders kept USDA report on South America in focus. Mild pressure was derived from a stronger dollar and crop-enhancing rains moving through South American growing areas.
China, the world's largest soyabean buyer, is likely to increase its soyabean imports from the United States in coming weeks due to a poor domestic crop and drought in South America.
China, which buys 60 percent of the soyabeans traded globally, had reduced soyabean imports from the United States by 26.4 percent in December 2011 versus December 2010, following a drop in November as well, as South America cornered a large share of the business.
At the Indore spot market in top producer MP, soybean gained 3 Rs to 2518Re per 100 kgs. Market has opened at 2513 & made a low of 2501 versus the day high of 2525.
The total volume for the day was at 58100 lots and the open interest was at 144590.
Support for soyabean is at 2501 below that could see a test of 2489.
Resistance is now seen at 2525 above that could see a resistance of 2537.
Trading Ideas:
Soybean trading range for the day is 2489-2537.
Soybean settled flat as traders kept USDA report on South America in focus
Mild pressure was derived from stronger $ and crop-enhancing rains moving through South American growing areas
NCDEX accredited warehouses soyabean stocks gained by 778 tonnes to 37903 tonnes.
At the Indore spot market in top producer MP, soybean gained 3 Rs to 2518Re 100 kgs.
Courtesy: Kedia Commodities
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