Commodity Trading Tips for Mustardseed by KediaCommodity

Ajay Kumar Kedia 6 July 2012

Commodity Trading Tips for Mustardseed by KediaCommodity Mustardseed yesterday traded with the positive node and settled 1.51% up at 4104 on the heels of strong demand of oil meal along with steady trend in other oilseeds. Traders are expecting some more gains in the near term. As per market sources, strong demand of oilmeal in the major mandies prompted the strong crushing demand of mustard seed. The spot prices of mustard seed oil cake augmented by Rs 1000 per quintal in the last one week to trade at around Rs 14500 per quintal. Similarly, steady trend in other oilseeds such as soyabean and groundnut also added strong gains in mustard seed market. Traders have focused more on the soybean rather than RMseed for time being. However if there are deficient rains than RMseed market may again see significant rally in near future. As per Solvent Extractors' Association of India, the domestic export of oil meals during May 2012 has increased to 351,791 tonnes, up by 8.60% as compared to 323,907 tonnes in May 2011. The total export of oil meals during April-May 2012 is reduced to 752, 218 tonnes, down more than10% as compared to the same period of last year. The total arrivals of mustard seed decreased by 9000 bags to 75000 bags in major mandies. In the Sri Ganganagar spot market in Rajasthan the price edged up by 130.65 rupee to 3981.05 rupees per 20 kgs. In yesterday's trading session Mustardseed has touched the low of 4032 after opening at 4038, and finally settled at 4104. For today's session market is looking to take support at 4049.3, a break below could see a test of 3994.7 and where as resistance is now likely to be seen at 4141.3, a move above could see prices testing 4178.7.