Mentha oil on MCX settled down by -0.91% at 1000 on the speculation the area under cultivation can incerese this year resulting good production. Sources mentioned that nearly 14500 MT of mint products were exported in six months of the current financial year. This implies that export demand for the complete financial year can be between 27000 and 29000 MT quite cheaper, versus 23000 of total exports last year. Farmers are keeping most of the stocks in their hands. Most buyers are willing to buy at these levels. Since farmers are keeping most of stocks, thus whenever requirement arises, industry people will be purchasing from the farmers. At Chandausi market estimated market supply was at 15 Drums (1-drum-180kg), up by 5 Drums (1-drum-180kg) as compared to previous day. Mentha DMO is offered high at Rs. 830 per Kg, up by 0.61 per cent from previous price level. Mentha Flakes at Chandausi market is quoted firm at Rs. 1140 per Kg, up by 0.88 per cent from previous day’s price level. At Rampur market arrivals were reported at 4 Drums (1-drum=180kg), unchanged as compared to previous day’s arrival. At Barabanki market total arrivals are at 100 Drums (1-drum-180kg), up by 40 Drums (1-drum-180kg) from previous day’s arrivals. At Sambhal market sources reported arrivals at 60 Drums (1-drum=180kg), up by 10 Drums (1- drum=180kg) as compared to previous day. Mentha oil spot at Sambhal closed at 1118.40 per 1kg. Spot prices is down by Rs.-5.40/-.Technically market is under long liquidation as market has witnessed drop in open interest by -23.83% to settled at 2254 while prices down -9.2 rupee, now Menthaoil is getting support at 993.8 and below same could see a test of 987.6 level, And resistance is now likely to be seen at 1009.4, a move above could see prices testing 1018.8.

Trading Ideas:

# Menthaoil trading range for the day is 987.6-1018.8.

# Mentha oil spot at Sambhal closed at 1118.40 per 1kg. Spot prices is down by Rs.-5.40/-.

# Mentha oil dropped on the speculation the area under cultivation can incerese this year resulting good production.

# Sources mentioned that nearly 14500 MT of mint products were exported in six months of the current year.

# At Sambhal market sources reported arrivals at 60 Drums (1-drum=180kg), up by 10 Drums (1-drum=180kg) as compared to previous day.