Chana settled up 1.31% at 2791 as support seen on lower level buying amid weak supplies in local mandis after prices dropped in last some sessions. Chana arrivals fell by 5 trucks to 15 trucks as compared to previous day. Domestic demand for the pea is very weak as the quality available in domestic market is of inferior variety. Chana was sown over an area of 10.21 million hectare compared to 9.5 million hectare a year ago thanks to normal monsoon and good soil moisture. Agriculture ministry has estimated chana output at record 9.79 million ton up from 8.83 million ton a year ago. The market sources suggested that favourable rainfall in Madhya Pradesh and Rajasthan from the last two days will encourage the timely harvesting of kharif crop and also provide better conditions for chana sowing in the rabi season. However, latest data of Ministry of Agriculture stated that kharif pulses sowing declined by almost 59% so far in the current year to reach just 7.50 lakh hectares due to weak monsoon in Maharashtra and Andhra Pradesh. The market sources suggested that total stocks of around 70-80 lakh tonnes of chana have been reported in local mandies and these stocks can easily meet the chana requirement in the current season. In Delhi spot market, chana gained  by 22.35 rupee to end at 2730 rupee per 100 kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 2.7% to settled at 147110 while prices up 36 rupee, now Chana is getting support at 2762 and below same could see a test of 2732 level, And resistance is now likely to be seen at 2819, a move above could see prices testing 2846.

Trading Ideas:

Chana trading range for the day is 2732-2846.

Chana prices gains as support seen on lower level buying amid weak supplies in local mandis after prices dropped in last some sessions.

Chana arrivals fell by 5 trucks to 15 trucks as compared to previous day.

NCDEX accredited warehouses chana stocks gained by 229 tonnes to 123972 tonnes.

In Delhi spot market, chana gained  by 22.35 rupee to end at 2730 rupee per 100 kgs.