Jeera erased early gains to end lower on hopes of higher output and slack overseas demand. Traders were reluctant to hold long position at higher levels. Overseas demand is not picking up as per expectations. Production in 2010 is seen rising to 2.9 million bags of 60 kg each from 2.7 million bags in 2009. Spot rates in Unjha, dropped 36 rupees to end at 11,975 rupees per 100 kg. May contract dropped Rs 40 and settled at Rs 11784 a kg. The contract made intraday low of Rs 11760 a kg and high of Rs 11924 a kg. Support for jeera is at 11721 below that could see a test of 11659. Resistance is now seen at 11885 above that could see a resistance of 11987.

Trading Ideas:

Jeera trading range is 11659-11987.

Jeera ended lower on hopes of higher output and slack overseas demand

Support for the jeera is at 11720 and resistance is at 11885.

NCDEX accredited warehouses jeera stocks rose by 3 tonnes to 6948 tonnes.

BUY JEERA MAY @ 11600-640 SL 11520 TGT 11700-11780-11825.NCDEX

In Unjha spot prices dropped 36 rupees to end at 11,975 rupees per 100 kg.