Guarseed yesterday we have seen that market has moved 0.19% spurred by worries over a delay in harvesting due to unseasonal rains in top producing Rajasthan state. But concerns over poor export demand capped the gains. Earlier, traders were expecting a 10-15 days delay in new crop harvesting. Now trends are indicating that it could get delayed by a month, and are supporting the prices. Good weather in Rajasthan and Haryana aided the growth of the standing crop. Reports of falling acreage and apprehensions of falling productivity in Rajasthan could support prices in medium term. Overall market sentiments remained firm though exports and weather in the growing areas would remain critical for the market sentiments in the short term. Guar seed arrivals improved slightly in Jodhpur. The arrivals gained to 5,000 bags against 4000 bags last day. The United States and Europe are the biggest importers of guar gum, a by-product of guar seed, which is mostly used as a controlling agent in oil drilling. In Jodhpur guarseed prices gained 62.5 rupees to 4348.35 rupees per 100 kg. Market has opened at 4327 & made a low of 4309 versus the day high of 4382. The total volume for the day was at 114650 lots and the open interest was at 142390. Now support for the guarseed is seen at 4300 and below could see a test of 4268. Resistance is now likely to be seen at 4373, a move above could see prices testing 4414.

Trading Ideas:

Guarseed trading range is 4268-4414.

Guarseed gained spurred by worries over a delay in harvesting due to unseasonal rains in Rajasthan

Good weather in Rajasthan and Haryana aided the growth of the standing crop

NCDEX accredited warehouses guarseed stocks dropped by 318 tonnes to 62536 tonnes.

In Jodhpur guarseed prices gained 62.5 rupees to 4348.35 rupees per 100 kg.