NCDEX Chana under fresh selling; Resistance seen at 5484
Commodity Online | May 10 2021
UPDATED 12:10:56 IST

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Technically Chana market is under fresh selling as market has witnessed gain in open interest by 5.06% to settled at 120230 while prices down 48 rupees.

Now NCDEX Chana is getting support at 5362 and below same could see a test of 5308 levels, and resistance is now likely to be seen at 5484, a move above could see prices testing 5552.

Chana yesterday settled down by 0.88% at 5416 on profit booking ahead of sowing report which can report higher sowing under Pulses area compare with last year.

Total summer crops have been sown on 73.76 lakh ha area against 60.67 lakh ha during the corresponding period of last year, thus increase in total summer area coverage by 13.09 lakh ha compared to corresponding period of last year in the country.

Sowing reported under Pulses 12.75 lakh ha against 6.45 lakh ha area of last year i.e. increase in area coverage by 6.30 lakh ha. Pressure also seen as demand gets affected amid rise in Covid cases after prices gained in recent session due to expectation of better demand during the upcoming festival season.

In addition, the government has initiated procurement at the minimum support price in major markets. Government agency Nafed has purchased 1.52 lakh tonnes of gram in Andhra Pradesh, Maharashtra, Madhya Pradesh, Telangana, Karnataka and Gujarat.

According to the second advance estimate of the Ministry of Agriculture, a record 116 million tonnes of gram production is expected in the 2020-21 season.

As per Ministry of Agriculture data, chana sowing in this Rabi season crossed 112 lakh ha, which is up by about five per cent from same period last year. In Delhi spot market, chana dropped by 31.95 Rupees to end at 5418.05 Rupees per 100 kgs.

Trading Ideas:
--Chana trading range for the day is 5308-5552.
--Chana dropped on profit booking ahead of sowing report which can report higher sowing under Pulses area compare with last year.
--Sowing reported under Pulses 12.75 lakh ha against 6.45 lakh ha area of last year i.e. increase in area coverage by 6.30 lakh ha
--According to the second advance estimate of the Ministry of Agriculture, a record 116 million tonnes of gram production is expected in the 2020-21 season.
--In Delhi spot market, chana dropped by 31.95 Rupees to end at 5418.05 Rupees per 100 kgs.

Courtesy: Kedia Commodities

Commodity Arrivals Rate
Green Chilli Seeds NR 2200.00
Ginger 2 2250.00
Cucumber NR 1300.00
Coriander Leaves 80 7.00

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