NCDEX Mustard Seed likely to move in a range of 8511-8777
Commodity Online | September 17 2021
UPDATED 11:30:02 IST

MCX Mentha Oil likely to move in a range of 906.2-930

MCX Aluminium may trade between 242.1-250.7 levels

MCX Nickel likely to move in a range of 1459.9-1499.9

MCX Zinc under fresh buying; Resistance seen at 287.5

MCX Cotton under long liquidation; Resistance seen at 30150

Technically Mustard Seed market is under fresh buying as market has witnessed gain in open interest by 2.11% to settled at 47900 while prices up 129 rupees.

Now NCDEX Mustard Seed is getting support at 8595 and below same could see a test of 8511 levels, and resistance is now likely to be seen at 8728, a move above could see prices testing 8777.

Mustard Seed yesterday settled up by 1.51% at 8678 tracking rise in overseas prices supported by tight supplies. Statistics Canada cut its canola production estimate to a 13-year low, due to drought.

Prices seen supported as Government has increased the Mustard seed MSP from 4650.00 to 5050 i.e Rs.400 per quintal for RMS 2022-23. Support also seen amid regular demand from the stockists and lowering all India arrivals.

In their August report, the IGC lowered their forecast for the world rapeseed production to 70.9 million tons (-2.2 compared to July and 72.1 compared to 2020/21). The rapeseed production in Canada will be 16 million tons (-2.8 and 18.7), 4.5 million tons in Australia (4.2 and 4.1), 2.8 million tons in Ukraine (2.7 and 2.7).

USDA estimates Canada rapeseed production for marketing year 2021/22 at 16.0 million metric tons (mmt), down 4.2 mmt (21 percent) from last month, 3.0 mmt (16 percent) from last year, and 20 percent below the 5-year average.

Harvested area is estimated at 8.7 million hectares, down 3 percent from last month, but 4 percent above last year, and roughly equivalent to the 5-year average.

The month-to-month decrease in area is due to the expectation of weather-related abandonment with prospects for hay being the best use. In Alwar spot market in Rajasthan the prices dropped 51.5 Rupees to end at 8818.5 Rupees per 100 kg.

Trading Ideas:
--Mustard Seed trading range for the day is 8511-8777.
--Mustard prices gained tracking rise in overseas prices supported by tight supplies.
--Statistics Canada cut its canola production estimate to a 13-year low, due to drought.
--Government has increased the Mustard seed MSP from 4650.00 to 5050 i.e Rs.400 per quintal for RMS 2022-23.
--In Alwar spot market in Rajasthan the prices dropped 51.5 Rupees to end at 8818.5 Rupees per 100 kg.

Courtesy: Kedia Commodities

Commodity Arrivals Rate
Mustard Oil 2 17325.00
Ghee NR 40000.00
Coconut Oil 10 17950.00
Tamarind Seeds 25 2550.00

More