Mustard Seed settled up by 0.72% at 4308 on supply worries and on improved demand. Steady domestic demand prior to arrival of new season oilseed is keeping the prices sideways. Meanwhile, weak meal demands keeping pressure on prices. Prices of the mustard seed were supported as consumption of mustard oil increases during the festival months of Aug-Nov. In Rajasthan, Rape-seed Mustard arrivals was at 20,000-35,000 bags. Rapeseed meal exports from India slipped 55.69% on year to 49,788 tons in August on weak demand from South Korea, Iran and Thailand, data released from Solvent Extractors Association of India (SEA) showed. According to latest USDA report, global rapeseed production forecast to decline to 64.6 mt in 2015/16 from 71.8 mt last year on lower crop estimates from Canada, the EU, Australia, and Ukraine. This production loss may halve the rapeseed inventories. Global rapeseed ending stocks may drop to a 12-year low at 3.4 mt in 2015/16. China rapeseed imports for 2015/16 are seen declining to 3.3 million tons from 4.5 million in 2014/15. Imports of rapeseed oil by China are also likely to be discouraged next year. In the Alwar spot market in Rajasthan the price gained 71.9 rupee to 4537.25 rupees per 100kgs.Technically market is under fresh buying as market has witnessed gain in open interest by 1.39% to settled at 74960 while prices up 31 rupee, now Rmseed is getting support at 4282 and below same could see a test of 4255 level, And resistance is now likely to be seen at 4329, a move above could see prices testing 4349.

Trading Ideas:

Rmseed trading range for the day is 4255-4349.

Mustard seed prices ended with gains on supply worries and on improved demand.

In Rajasthan, Rape-seed Mustard arrivals was at 20,000-35,000 bags.

NCDEX accredited warehouses mustard seed stocks dropped by 38 tonnes to 62062 tonnes.

In the Alwar spot market in Rajasthan the price gained 71.9 rupee to 4537.25 rupees per 100kgs.