Commodity Trading Tips for Maize by KediaCommodity

Ajay Kumar Kedia 10 July 2014

Maize Maize settled flat due to increased selling by traders amid weak physical market sentiments. Slackness in demand and increased supply from growing regions in physical markets also influenced trading sentiments. In Delhi arrivals were reported at 1000 quintals, higher by 300 quintals as compared to previous day. In Punjab arrivals were reported at 3000 Quintal, up by 750 Quintal from previous trading day. Maize production in India this year is likely to touch record 25 million tonnes as adequate monsoon rains trigger higher acreage across growing states. As per the second advance estimates of Indian government, the total maize production in 2013-14 is estimated at 23.29 million tonnes against 22.26 million tonnes due to higher sowing acreage coupled with favouable crop conditions in major producing states. Therefore, higher product will limit the stockiest buying at current levels. 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. This is showing a drop of around 1.60% on the year but is also indicating that some pick up is emerging in the sowing activity off late. Technically market is under fresh selling as market has witnessed gain in open interest by 5.04% to settled at 39600 while prices remain unchange0 rupee, now Maize is getting support at 1176 and below same could see a test of 1166 level, And resistance is now likely to be seen at 1193, a move above could see prices testing 1200.