Guar yesterday we have seen that market has moved 0.21%. Market has opened at 2405 & made a low of 2384 versus the day high of 2421. The total volume for the day was at 232640 lots and the open interest was at 194350. Prices where supported by fresh enquiries from exporters, negligible arrivals in the physical market, estimates of lower output and on improved demand for churi and korma, the by-products of guar seed.  Weather report will play a vital role as guar seed as it is a rain fed crop. In Jodhpur, a major trading hub in Rajasthan, guar seed edged down 5 rupees to 2,388 rupees per 100 kg. In top producer Rajasthan, output is likely to drop by 80 percent to 241,000 tonnes in 2009/10 as scanty rains trimmed area and yields. Now support for the guar is seen at 2389 and below could see a test of 2368. Resistance is now likely to be seen at 2426, a move above could see prices testing 2442.

Trading Ideas:

Guar trading range is 2370-2444.

Prices supported by fresh enquiries from exporters, low arrivals with improved demand.

Output this year is likely to drop by 80% as scanty rains trimmed area and yields

NCDEX accredited warehouses guar stocks fell by 814 tonnes to 23511 tonnes.

BUY GUAR MAY ABV 2421 SL 2402 TGT 2438-2456-2474. NCDEX

In Jodhpur guar prices fell  5rupees to 2,388 rupees per 100 kg.