Mentha oil settled down with significant losses despite firm physical market. Though there were exporters' buying at the spot counter, futures failed to recovered under selling pressure. An estimation of lower planting under mentha aided prices to tad up in spot markets. April contract dropped Rs 4.8 and settled at Rs 629 a kg. The contract made intraday low of Rs 627.2 a kg and high of Rs 634.4 a kg with the volume of 719 and total open interest for the same contact was at 1648.Now support for the menthol is seen at 626 and below could see a test of 623. Resistance is now likely to be seen at 633.2, a move above could see prices testing 637.4.

Trading Ideas:

Menthol Oil trading range is 623-637.

Mentha oil spot is at 678/-. Spot market is down by Rs.2/-.

Resistance for the mentha oil is 633.20 and support is at 626.

Total stock of mentha at MCX warehouses at Chandausi was 691,951 kg  as on Mar 24

Mentha oil settled down with significant losses despite firm physical market

SELL MENTHOL APR @ 632 SL 635.20 TGT 629.80-627.50-625. MCX