Commodity Trading Tips for Ref. Soya Oil by KediaCommodity

Ajay Kumar Kedia 31 December 2013

Ref-Soya-Oil Ref. Soya oil settled up 0.22% at 684.7 supported by a rise in demand in the spot market. Given adequate carryover stock and weak demand for soyameal and oil, the bearish sentiment is expected to continue in the coming days. The local edible oils had eased in last few days amid a good start for the rabi sowing and ideas that the soybean arrivals would increase in local mandies in near term. India's soy meal exports jumped to 182,724 tons in October as against 49,840 tons last year. Total Oil meal exports stood at 368,317 tons in October, according to the data released by the Solvent Extractors' Association of India. India's vegetable oils (edible & non-edible) imports reported at 944,309 tons during November this year compared to 700,371 tons in the same month last year, consisting of 927,111 tons of edible oils and 17,198 tons on non-edible oils, the latest data from the Solvent Extractors Association of India showed. In the current year, in spite of sizable increase in area under soybean, the crop is lower than last year due to extensive damage both in term of quality and quantity due to heavy rain fall during end September also early October at the time of harvesting. COOIT sees the marketable soybean surplus this season at 89.80 lakh tonnes, down nearly 10% from 97 lakh tonnes last year. At the Indore spot market in Madhya Pradesh, soyoil was steady at 697.2 rupees per 10 kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 7.77% to settled at 113680 while prices up 1.5 rupee, now Ref. Soya oil is getting support at 682 and below same could see a test of 680 level, And resistance is now likely to be seen at 688, a move above could see prices testing 692.