Commodity Trading Tips for Chana by KediaCommodity

Ajay Kumar Kedia 30 July 2014

Chana Chana settled up 0.88% at 2881 supported by lower area under summer-sown pulses due to delayed rains. As per the market sources, the total daily arrivals of Chana dropped to just 15 motors in Delhi mandi from the average daily arrivals of 25 motors over last few weeks. Sources added that monthly chana consumption has also been increased from the level of 3-3.5 lakh bags to reach 4-4.5 lakh bags due to excessive buying by millers at lower levels. The prices will also get strong boost from weak sowing trend of kharif pulses so far in the current year. The latest kharif data suggested that kharif pulses sowing has been completed in 21.50 lakh hectares as on 17 July 2014, down 32% from the last year in the same period. 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. The latest kharif data suggested that kharif pulses sowing has been completed in 21.50 lakh hectares as on now, down 32% from the last year in the same period. As per the second advance estimates of Indian government, the total chana production in 2013-14 is estimated at 9.76 million tonnes against 8.83 million tonnes due to higher sowing acreage coupled with favourable crop conditions in major producing states. In Delhi spot market, chana gained by 80.4 rupee to end at 2950 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -5.19% to settled at 138990 while prices up 25 rupee, now Chana is getting support at 2864 and below same could see a test of 2847 level, And resistance is now likely to be seen at 2898, a move above could see prices testing 2915.