Jeera settled down -0.65% at 11480 on late profit booking after prices gained due to an improvement in demand and concerns over production due to scanty rainfall in top producing Gujarat state. Moreover, downside seen limited on buying support from retailers and stockists against tight stocks due to fall in supplies from producing belts. In Delhi estimated market supply was at 7000 quintals, unchanged as compared to previous day’s arrival. In Jodhpur total arrivals are at 800 quintals, higher by 100 quintals as against previous day. In Rajkot arrivals were reported at 418 quintals, higher by 28 quintals as against previous day. In Mehsana estimated market supply was at 7000 quintals, lower by 23000 quintals from previous day’s arrivals. Area under jeera in Gujarat was reported at 455,000 ha as against 335,200 ha last year while about 390,000 ha were sown in Rajasthan. Geo-political tensions in Syria and Turkey have led to a supply crunch in the global markets raising supply concerns from the two major exporting countries. Export orders are diverted to India. Production is also expected to fall in Syria and Turkey due to crop failure. According to IBIS India’s Jeera exports have crossed 1,00,000 tonnes till Feb’14. In Unjha, a key spot market in Gujarat, jeera edged down by -15.3 rupees to end at 11360.35 rupee per 100 kg. Technically market is under fresh selling as market has witnessed gain in open interest by 2.47% to settled at 5604 while prices down -75 rupee, now Jeera is getting support at 11380 and below same could see a test of 11300 level, And resistance is now likely to be seen at 11580, a move above could see prices testing 11700.

Trading Ideas:

Jeera trading range for the day is 11307-11707.

Jeera prices dropped on late profit booking after prices gained due to an improvement in demand.

In Mehsana estimated market supply was at 7000 quintals, lower by 23000 quintals from previous day’s arrivals.

NCDEX accredited warehouses jeera stocks dropped by 9 tonnes to 1587 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged down by -15.3 rupees to end at 11360.35 rupee per 100 kg.