Commodity Online MUMBAI: Soybean futures market observed sideway to marginally bearish movement. Due to weekend, profit booking was observed as during past week sharp increment in price was seen on reports of delayed monsoon and support from the international market.
However, on Friday monsoon rains were observed in Maharashtra and Madhya Pradesh which put some check on the prices and the far month contracts observed fresh selling pressure.
But near month contracts did not fall too much due to depleting stocks and steady arrivals. USDA is scheduled to release its soybean planting progress report on 30th June. Traders are expecting increment in the soybean sown area this year.
24-Hour Online Forex Trading. Start with FREE practice accountThis may restrict the upside movement to certain extent. Till date US soybean planting progress is satisfactory In India, physical market demand is moderate however traders say that crushing plants are believed to be short in supply in soybean.
But due to current weak trend they are waiting for prices to come down further to initiate buying.
On Monday NCDEX soybean prices are expected to show initial downward movement but later on improvement may be seen. NCDEX July contract is likely to get support near 2493 then 2450 and resistance near 2544 then 2577.
Courtesy: Religare Commodities
