Commodity Trading Tips for Maize by KediaCommodity

Ajay Kumar Kedia 6 May 2014

Maize Maize settled up 0.85% at 1187 on short covering amid firm overseas prices after prices dropped on rising new supplies in local mandies coupled with fragile export demand of maize. India total maize production in 2013-14 is estimated at 23.29 million tons against 22.26 million tons due to higher sowing acreage coupled with favourable crop conditions in major producing states, the second advance estimates of Indian government showed. International corn prices traded higher as wet weather condition in US Midwest may hamper spring sowing prospects reports in the world's biggest maize producer. United States corn growers had planted 19% of crop as of Apr 27 compared to prior five-year average of 28%, the US Department of Agriculture (USDA) said in its crop progress report. Corn planting acreages in United States is estimated lower at 91.691 million from 95.365 million in 2013, according to the USDA prospective planting data. US corn stockpiles is estimated at 1.33 billion bushels compared to trade forecast of 1.403 billion bushels and last month's forecast of 1.456 billion bushel, the US Department of Agriculture (USDA) said in its WASDE. The good kharif supplies are ensuring that the prices don't spurt much and there are worries over export demand too. Not much of an activity is seen in local markets as the peak procurement season is still a few months away. According to the latest data, acreage under the coarse cereals stood at 60.94 lakh hectares compared with 61.92 lakh hectares as on the date last year. Technically market is under fresh buying as market has witnessed gain in open interest by 2.68% to settled at 21070 while prices up 10 rupee, now Maize is getting support at 1165 and below same could see a test of 1142 level, And resistance is now likely to be seen at 1200, a move above could see prices testing 1212.