NCDEX Ref. Soya Oil under fresh buying; Support seen at 1423
Commodity Online | May 07 2021
UPDATED 11:10:16 IST

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Technically Ref. Soya Oil market is under fresh buying as market has witnessed gain in open interest by 1.07% to settled at 30340 while prices up 4.2 rupees.

Now NCDEX Ref. Soya Oil is getting support at 1423 and below same could see a test of 1417 levels, and resistance is now likely to be seen at 1436, a move above could see prices testing 1443.

Ref. Soya Oil yesterday settled up by 0.29% at 1429.3 amid worries about global edible oils supply. However upside seen limited after reports that summer oilseed crop sowing progress is very good as on date.

There is no impact of COVID-19 pandemic situation on progress of area coverage under summer crops in the country. Oilseeds 10.45 lakh ha area against 9.03 lakh ha area of last year, thus increase in area coverage by 1.41 lakh ha.

Total vegetable oil imports rose marginally to 9,80,243 tonne in March 2021, compared to 9,55,422 tonne in the year-ago period. Support also seen due to low stocks, a slow recovery in output and higher global use in biofuel production.

Prices rallied in recent session tracking rise in soyabean prices after the U.S. Department of Agriculture's plantings forecast for 2021 fell below most trade expectations.

Export of oilmeals jumped 205% year-on-year in February to 393,309 tonne, compared with 128,761 tonne, according to data compiled by the Solvent Extractors’ Association of India (SEA).

The overall export of oilmeals during April 2020 to February 2021 recovered sharply and stood at 3,358,649 tonne provisionally, against 2,256,614 tonne during the same period of the previous year, up by 49%, according to the association. At the Indore spot market in Madhya Pradesh, soyoil was steady at 1459.1 Rupees per 10 kgs.

Trading Ideas:
--Ref. Soya Oil trading range for the day is 1417-1443.
--Ref. Soya Oil prices gained amid worries about global edible oils supply.
--However upside seen limited after reports that summer oilseed crop sowing progress is very good as on date.
--There is no impact of COVID-19 pandemic situation on progress of area coverage under summer crops in the country.
--At the Indore spot market in Madhya Pradesh, soyoil was steady at 1459.1 Rupees per 10 kgs.

Courtesy: Kedia Commodities

Commodity Arrivals Rate
Ghee 7 43000.00
Coriander Seeds 4.4 5590.00
Yam 1.5 2500.00
Green Chilli Seeds 70 3150.00

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