Commodity Trading Tips for Mustard Seed by KediaCommodity

Ajay Kumar Kedia 4 September 2014

Mustardseed Rmseed settled up 1.75% at 3607 due to steady demand from crushers with limited supplies. The demand for meal from exporters will support the upward push to the market prices in the coming weeks. The arrivals remained in the range of 55,000 – 65,000 bags of 85Kg each. India's rainfall deficit shrunk to 16% until Sep 1 compared to 17% on Aug 30, as southwest monsoon turned active over several places of central India and south Peninsula, report from India Meteorological Department (IMD) says. Mustard meal export increased 114.26% to 87,637 tn in July ’14 compared to 40,902 tn in July ’13. Sowing of mustard seed in 2013-14 stood at 7.13 mn ha as against 6.73 mn ha last year. Agriculture ministry in its 3rd advance estimates has pegged 2013-14 mustard output at 7.8mn tn, down 2.9% compared to 8.03 mn tn in 2012-13. As per Solvent Extractors’ Association of India (SEA) data bank, the imports of Rape oil are steadily on the rise and have significantly increased by more than 11 times from 7,943 MT to 103,003 MT. Though oilmeal exports dipped for the third consecutive month due to rise in soybean prices, but the rapeseed meal has increased 53 per cent to 408,410 tonnes from 267,461 tonnes in last four months. In the Alwar spot market in Rajasthan the price gained 12.85 rupee to 3661.5 rupees per 20kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 3.94% to settled at 47180 while prices up 62 rupee, now Rmseed is getting support at 3560 and below same could see a test of 3513 level, And resistance is now likely to be seen at 3635, a move above could see prices testing 3663.