Commodity Trading Tips for Chana by KediaCommodity

Ajay Kumar Kedia 4 September 2014

Chana Chana settled up 0.17% at 2882 due to short covering amid concerns over production of summer-sown pulses after prices dropped in last some sessions due to improved kharif pulses sowing. Sowing of kharif pulses as on now stood at 9.54 million hectare, up by 3% as compared previous week and down by 5.21% compared to last year, government data showed. The 4th Advance Estimates pegged total pulses output for 2013-14 at 19.27 mn tn, up from 18.34 mn tn earlier. There was a delay in the harvesting of the chana crop along with some crop damage in Madhya Pradesh, Rajasthan, Maharashtra and Andhra Pradesh. As per the Ministry of Agriculture, area under Rabi Pulses 2013-14 stood at 161.9 lakh ha as against 152.65 lakh ha last year. Chana sowing stood at 10.21 mn ha compared to 9.51 mn ha during the same period last year. Supplies of Chana since past one year has been ample as the country reaped bumper Chana output in 2012-13 season. For 2013-14 too, the government in their third advance estimates has projected record output of at 9.9 mn tonnes in the Rabi season. According to India Pulses and Grains Association, Apr-Dec’13 stood at import 2.4 mn tn vs 2.8 mn tn last year. In value terms, India imported $2.3 billion of pulses in 2012-13, almost 28% higher over $1.85 billion in the preceding year. In Delhi spot market, chana dropped by -15.8 rupee to end at 2934.2 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -0.1% to settled at 111210, 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 2892, a move above could see prices testing 2903.