Technically Rmseed market is under short covering as market has witnessed drop in open interest by 6.31% to settled at 35030 while prices up 5 rupees.
Now NCDEX Rmseed is getting support at 3956 and below same could see a test of 3944 level, And resistance is now likely to be seen at 3980, a move above could see prices testing 3992.
Mustard Seed on NCDEX settled up by 0.13% at 3969 on supply worries following weak sowing operations in major oilseeds growing area and hope of strong demand.
High day temperature during October hit sowing of crop in Rajasthan. Mustard seed sowing declined 3.54% to 3.70 million hectare as warm weather sowing in Rajasthan. The prices will also be up on expectation of winter demand coupled with higher meal exports during the first six months of new financial year and increasing demand for winter crushing.
Crushing of mustard during October month jumped 6% compared to previous month on strong demand for oil during winter season. Robust demand for mustard oil ahead of winter and festive season aid crushing operation. >From Feb 15 till Oct 31 processors have crushed 4.775 million tons mustard.
Till Oct 31, around 5.01 million tons rapeseed have arrived in the market out of 6.77 million tons of estimated marketable surplus. Around 1.765 million tons mustard seed are still with farmers while 235,000 tons with processors and stockist.
There are improved mustard meal exports in first 6 month of FY 2017/18. Country exported 242,661 tons mustard meal during this period which is 76.4% higher on year. As per data compiled by Mustard Oil Producers Association of India, Oil mills across the country crushed 425,000 tn of mustard seed in September, down around 6% from previous month.
In Alwar spot market in Rajasthan the prices remains unchanged by 0 Rupees to end at 3973.5 Rupees per 100 kg.
--Rmseed trading range for the day is 3944-3992.
--Mustard seed prices gained on supply worries following weak sowing operations in major oilseeds growing area and hope of strong demand.
--Mustard seed sowing declined 3.54% to 3.70 million hectare as warm weather sowing in Rajasthan.
--NCDEX accredited warehouses mustard seed stocks gained by 180 tonnes to 1846 tonnes.
--In Alwar spot market in Rajasthan the prices remains unchanged by 0 Rupees to end at 3973.5 Rupees per 100 kg.
Courtesy: Kedia Commodities