Chana gained Rs 9 and settled at Rs 3397 per quintal due to improvement in demand in the physical market. Chana output is expected to be 8.49 million tonnes in 2012/13 as per the agriculture ministry's third advance estimate as against 7.70 million tonnes a year earlier. The wedding season, when demand for chick peas goes up, has started and will last until July. Chana arrivals in Delhi continued to be very thin and prices continued to take support at lower levels. The supplies in the city had dropped quite drastically in the last week, as farmers did not show an active enthusiasm in bringing their produce to the mandies. The wedding season also taken a toll on the market activity. However, the overall supply condition remains good this year. Chana arrivals slipped in Delhi yet again, ensuing that the spurt in supplies witnessed in last session does not lead to a consistent increase in inflows. The average daily supplies were around 25-30 trucks during last week as weak prices took their toll. Farmers did not show an active enthusiasm in bringing their produce to the mandies. The wedding season also ensured less participation. However, the spot prices have mostly trended up after tanking near their 15 month low of Rs 3330 last week. The arrivals in Delhi's Lawrence Road mandi were 40 trucks as compared to 60 trucks yesterday. In Delhi spot market, chana jump up by 8.95 rupee to end at 3383.95 rupee per 100 kgs. The volume was noted at 42980 lots. Support for chana is at 3386 below that could see a test of 3374. Resistance is now seen at 3414 above that could see a resistance of 3430.

Trading Ideas:

Chana  trading range for the day is 3374-3430.

Chana ended with gains due to improvement in demand in the physical market.

Chana output is expected to be 8.49 million tonnes in 2012/13 against 7.70 million tonnes a year earlier.

NCDEX accredited warehouses chana stocks gained by 2266 tonnes to 108020 tonnes.

In Delhi spot market, chana jump up by 8.95 rupee to end at 3383.95 rupee per 100 kgs.