Guar yesterday we have seen that market has moved 1.88% on lower-than-expected arrivals and export demand. A reviving world economy and a preference shift to eco-friendly substitutes has seen a surge in demand for Indian guar gum from oil and gas companies that could push exports up 22 percent in 2010/11. World demand in 2010/11 is expected to grow by 15-20 percent to 260,000 tonnes on robust demand from oil and gas companies. In Jodhpur guar prices gained 33.85 rupees to 2037.15 rupees per 100 kg. Market has opened at 2082 & made a low of 2071 versus the day high of 2129. The total volume for the day was at 279940 lots and the open interest was at 167770.Now support for the guar is seen at 2080 and below could see a test of 2047. Resistance is now likely to be seen at 2138, a move above could see prices testing 2163.

Trading Ideas:

Guar trading range is 2047-2163.

Guar settled higher on lower-than-expected arrivals and export demand.

Guar is taking resistance at 2138 and support is seen at 2080.

NCDEX accredited warehouses guar stocks rose 703 tonnes to 35324 tonnes.

In Jodhpur guar prices gained 33.85 rupees to 2037.15 rupees per 100 kg.