Mustardseed yesterday traded with the negative node and settled -0.59% down at 4230 due to profit booking after prices gained on the heels of strong demand of oil meal along with steady trend in other oilseeds. 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 15200 per quintal. Similarly, steady trend in other oilseeds such as soyabean and groundnut also added strong gains in mustard seed market. The total arrivals of mustard seed decreased by 2000 bags to 71000 bags in major mandies. As per COOIT, Rapeseed output is estimated to drop by 12.6% to 6.03 mln tons in the year to June 2012. Rains have not been enough in many areas of the country which is a cause of concern and further delay may spark the edible oil prices including RMseed. In Canada the canola sowing is going up on higher oilseeds prices. During past few days traders have built up fresh positions in the market anticipating the further rise in prices in coming days. In the Sri Ganganagar spot market in Rajasthan the price edged down by -25 rupee to 4135.6 rupees per 20 kgs. In yesterday's trading session Mustardseed has touched the low of 4183 after opening at 4251, and finally settled at 4230. For today's session market is looking to take support at 4184.3, a break below could see a test of 4138.7 and where as resistance is now likely to be seen at 4274.3, a move above could see prices testing 4318.7.
RM Seed trading range for the day is 4139-4319.
Mustard seed ended lower due to profit booking after prices gained on the heels of strong demand
Strong demand of oilmeal in the major mandies prompted the strong crushing demand of mustard seed.
NCDEX accredited warehouses mustard seed stocks gained by 521 tonnes to 130201 tonnes.
In the Sri Ganganagar spot market in Rajasthan the price edged down by -25 rupee to 4135.6 rupees per 20 kgs.