Turmeric yesterday we have seen that market has moved 1.72% on lower stocks and thin arrivals, though hopes of a likely supply surge in the coming days due to higher production estimates weighed. Arrivals from the new crop have started at some places in small quantities and are expected to improve gradually. Fresh arrivals are coming in a very limited quantity, good rains in the growing areas of AP and Karnataka raised possibilities of a better crop this year. With sowing area in these 2 states expected to rise, it can pressurize the prices to some extent traders expect production to range between 65-70 lakh bags vs ~48 lakh bags last year Domestic demand is average while export demand is also expected to pick-up at lower levels turmeric output is likely to rise to 6.7 million bags of 70 kg each from 4.65 million bags produced in 2009/10. In April-November 2010, India's turmeric exports were 33,000 tonnes, down 11 percent, according to the Spices Board, In Nizamabad, a major spot market in AP, the price ended at 15362.5 rupees dropped by -278.65 rupees. Market has opened at 9940 & made a low of 9912 versus the day high of 10246. The total volume for the day was at 3315 lots and the open interest was at 6590. Support for turmeric is at 9962 below that could see a test of 9770. Resistance is now seen at 10296 above that could see a resistance of 10438.

Trading Ideas:

Turmeric trading range is 9779-10447.

Turmeric ended higher on lower stocks and thin arrivals

Turmeric is having resistance at 10295 and support at 10020 level.

Domestic demand is average while export demand is also expected to pick-up at lower

In Nizamabad, a major spot market in AP, the price ended at 15362.5 rupees dropped by -278.65 rupees.