Pepper December delivery gained Rs 54 and settled at Rs 21585/quintal on short covering amid on a likely delay in fresh arrivals due to unseasonal rains and weak supplies, though poor exports weighed. Overall the supply situation is very poor. Harvesting of the new crop is also likely to get delayed. Unseasonal rains would delay pepper arrivals in India's premier producing state, tightening supplies and keeping prices firm in the medium term, but it would not significantly affect production. Spot pepper dropped -47.8 rupees to 21564.7 rupees per 100 kg in Kochi market. The contract touched the intraday high of Rs 21666/quintal while low of Rs 21363/quintal. Now support for the pepper is seen at 21410 and below could see a test of 21235. Resistance is now likely to be seen at 21713, a move above could see prices testing 21841.

Trading Ideas:

Pepper trading range is 21235-21841.

Pepper ended positive on short covering amid on a likely delay in fresh arrivals

Pepper looks to test support at 21410 and resistance is seen at 2171.

Harvesting of the new crop is also likely to get delayed.

Spot pepper dropped -47.8 rupees to 21564.7 rupees per 100 kg in Kochi market.