Jeera March contract dropped Rs 158 and settled at Rs 16941 a kg due to profit booking after prices rose to a fresh contract high due to concern that unseasonal rains may slash output, analysts said. Thin supplies from the new season crop and depleting stocks also supported. Supplies from the fresh crop are very thin because of delayed sowing. The total fresh arrivals of around 7000 bags were reported at Unjha Mandi against 5000 bags from the previous day. Traders are currently projecting the total jeera production of 2010-11 at around 21 lakh bags against 29 lakh bags reported last year. In Unjha, a key spot market in Gujarat, jeera gained 195.45 rupees to end at 16585 rupees per 100 kg. The contract made intraday low of Rs 16781 a kg and high of Rs 17310 a kg. Support for jeera is at 16711 below that could see a test of 16482. Resistance is now seen at 17240 above that could see a resistance of 17540.

Trading Ideas:

Jeera trading range is 16483-17541.

Jeera dropped due to profit booking after prices rose to a fresh contract high

Jeera is having resistance at 17100 and support at 16800 level.

NCDEX accredited warehouses jeera stocks rose 33 tonnes to 9245 tonnes.

In Unjha, a key spot market in Gujarat, jeera gained 195.45 rupees to end at 16585 rupees per 100 kg.