Pepper July delivery dropped Rs 40 and settled at Rs 16725/quintal tracking weakness in other spices and on slack overseas demand. Overseas demand for the Indian origin pepper is weak because prices are at premium compared with other competing countries in the international market. Spot pepper inched up 11 rupees to end at 16,408 rupees per 100 kg in Kochi. The contract touched the intraday high of Rs 16870/quintal while low of Rs 16612/quintal. Now support for the pepper is seen at 16601 and below could see a test of 16478. Resistance is now likely to be seen at 16859, a move above could see prices testing 16994.

Trading Ideas:

Pepper trading range is 16288-17188.

Pepper dropped tracking weakness in other spices and on slack overseas demand

Support for the pepper is seen at 16600 and resistance is at 16860.

NCDEX accredited warehouses pepper stocks rose 145 tonnes to 3740 tonnes.

BUY PEPPER JULY @16550-600 SL 16400 TGT 16680-16760-16880.NCDEX

Spot pepper gained by 11 rupees and ended at 16408 rupees per 100 kg