Commodity Trading Tips for Jeera by Kedia Commodity

Ajay Kumar Kedia 13 August 2013

Jeera Jeera yesterday settled down -0.91% at 13352.5 due to better crop expectations and high arrivals in the market. Further, poor buying interest from local traders on increased supply also impacted the sentiments. The total arrivals increased to 7,000 bags from 6,000 bags, while demand was seen around 10,000 bags against 12,000 bags. Rains in some areas in Rajasthan has been adversely affecting the trading activities - thus keeping the sentiments weak, amidst higher arrivals in the mandis. Prices are expected to hold on amid good overseas demand and falling arrivals. Demand is moderating in local markets now but prices continue to linger just under their four-month highs as the sentiments still remain positive amid favorable global offtake. Spot Jeera markets are still witnessing a good activity amid renewed buying interest. The futures have also witnessed good upside in last few days and further rise is possible given the persistent worries over supplies from Syria in world markets. Heavy rainfall has been witnessed in few regions Gujarat though no major impact of the same has been seen so far. As per market source, India's jeera exports are seen rising nearly 13 percent to 90000 tons in 2013-14 (Apr-Mar) from 79900 tons in the same period previous year. Added, this year's production in Syria is expected to be around 4000-5000 tons, while Turkey is expected to produce around 5000 tons. In Unjha, a key spot market in Gujarat, jeera edged down by -75.5 rupees to end at 13537 rupee per 100 kg. Technically market is under fresh selling as market has witnessed gain in open interest by 0.87% to settled at 11166 while prices down -122.5 rupee, now Jeera is getting support at 13295 and below same could see a test of 13238 level, And resistance is now likely to be seen at 13445, a move above could see prices testing 13538.