Chana yesterday settled down -0.92% at 3234 as expectations of higher sowing on good monsoon rains weighed on sentiment. Prospects of better chana sowing are likely to keep chana prices under pressure. But some buying may come ahead of festival. Spot demand should improve ahead of festivals and prices are also at lower levels. Local demand for chana flour is likely to pick up in the coming days, ahead of Ganesh Chaturthi, a local festival. Chickpea is a rabi crop sown during the winter and farmers depend on rains to moisten the land for sowing. As per latest release from Ministry of Agriculture, the acreage under pulses has shot up by 26.21% to 79.5 lakh hectares. This is mainly due to strong sowing of Tur and Urad in Maharashtra. The total output of Chana is likely to be 8.57 million tons in the current year. This marks a gain of 11.29% compared to the last year's production of 7.57 million tons. Rabi Pulses output is likely to be 12.09 million tons, up 9.61% on the year. Prices have jumped on good demand and worries over crop losses for some kharif pulses. There are worries over the standing Moong and Urad crop in Madhya Pradesh. The total arrivals of Chana in Delhi are 40 trucks today. Arrivals were around 35/40 trucks on average in last week. Demand from retailers is very strong in all ready pulses. Imported pulses are being offered at a premium following the massive drop in Indian Rupee. The moong arrivals in Rajasthan are increasing and some kind of a pressure is getting build on the pulses market in general. Now Chana is getting support at 3191 and below same could see a test of 3148 level, And resistance is now likely to be seen at 3291, a move above could see prices testing 3348.

Trading Ideas:

Chana trading range for the day is 3154-3354.

Chana settled down as expectations of higher sowing on good monsoon rains weighed on sentiment.

As per latest release from Ministry of Agriculture, the acreage under pulses has shot up by 26.21% to 79.5 lakh hectares.

NCDEX accredited warehouses chana stocks dropped by 721 tonnes to 112013 tonnes.

In Delhi spot market, chana dropped by -0.3 rupee to end at 3265 rupee per 100 kgs.