Pepper November delivery gained Rs 78 and settled at Rs 18685/quintal on a squeeze in supplies and dwindling stocks but subdued export demand weighed. Hopes of good production due to favorable monsoon rains also weighed on prices. India's pepper exports in April-August 2010 fell 5 percent to 7,600 tonnes from the same period a year ago. Spot pepper dropped -13.35 rupees to 18616.65 rupees per 100 kg in Kochi market. The contract touched the intraday high of Rs 18839/quintal while low of Rs 18501/quintal. Now support for the pepper is seen at 18511 and below could see a test of 18337. Resistance is now likely to be seen at 18849, a move above could see prices testing 19013.

Trading Ideas:

Pepper trading range is 18337-19013.

Pepper ended positive on a squeeze in supplies and dwindling stocks

Pepper looks to test support at 18511 and resistance is seen at 18849.

Spread between Pepper NOV & DEC contracts yesterday traded in the range of 251 to 275.

Spot pepper dropped -13.35 rupees to 18616.65 rupees per 100 kg in Kochi market.