Commodity Trading Tips for Mustardseed by KediaCommodity

MustardseedMustardseed yesterday traded with the negative node and settled -0.2% down at 3449 due to weak spot demand amid higher area under cultivation though thin supplies in local markets limited downside. Indian farmers had cultivated rapeseed on 6.69 million hectares compared with 6.47 million hectares during the same period last year. Rains are seen in many parts of the north -west India. Rain is very beneficial for the standing crop, however some damage to the crop can't be ruled out in the areas where early maturing verities are sown due to lodging of crop (please note that the crop of early sown and early maturity verities are in fruiting stage at this point of time). Overall weather is conducive for the crop in most of its growing areas. Prevailing conducive weather may boost production prospects this year. The country may expect to produce around 65 lakh tons RMseed during 2013-14. However some rains are needed at this point of time for vigorous growth of the crop. In the Sri Ganganagar spot market in Rajasthan the price edged up by 145 rupee to 4315 rupees per 20 kgs. In yesterday's trading session Mustardseed has touched the low of 3444 after opening at 3460, and finally settled at 3449. For today's session market is looking to take support at 3441, a break below could see a test of 3433 and where as resistance is now likely to be seen at 3460, a move above could see prices testing 3471.

Trading Ideas:

RM Seed trading range for the day is 3433-3471.

Mustard seed ended lower due to weak spot demand amid higher area under cultivation.

Indian farmers had cultivated rapeseed on 6.69 million hectares compared with 6.47 million hectares.

NCDEX accredited warehouses mustard seed stocks gained by 5180 tonnes to 26519 tonnes.

In the Sri Ganganagar spot market in Rajasthan the price edged up by 145 rupee to 4315 rupees per 20 kgs.