Ref. Soyaoil on NCDEX settled up by 0.84% at 652.85 on hope of higher demand in global market. Prices of oil were up on demand hope from the US following report that said that US president Donald Trump's administration will not change 2017 Renewable Fuel Standard (RFS) Biofuel quotas. The mandates are in place for 2017 to use more soybean oil to make biodiesel. Further, strong demand for on-going wedding season and festivals in domestic market were also supported soyoil prices. According to data released by the Solvent Extractors' Association of India (SEA), during Nov-Feb, the country had imported 4.68 mt of edible oil, down from 5.09 mt a year ago. The government has cut the base import price of soyoil by $9 per tonnes for second half of March. India imported 17 per cent more vegetable oil in February 2017 at 1,270,443 tonnes, compared to 1,082,009 tonnes in the corresponding month last year. However, so far in the current oil year (November to October), vegetable oil imports have declined by a modest 8 per cent to 4,680,451 tonnes (November 2016-February 2017 period) as against 5,098,400 tonnes in the corresponding period last year. Imports have reduced due to a good kharif oilseed crop and better domestic availability of edible oils. At the Indore spot market in Madhya Pradesh, soyoil was steady at 654.65 Rupees per 10 kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 2.02% to settled at 44900 while prices up 5.45 rupees, now Ref. Soya oil is getting support at 650 and below same could see a test of 646 level, And resistance is now likely to be seen at 656, a move above could see prices testing 658.

Trading Ideas:

# Ref. Soya oil trading range for the day is 646-658.

# Ref soyoil ended with gains on hope of higher demand in global market.

# According to data released by the SEA, during Nov-Feb, the country had imported 4.68 mt of edible oil, down from 5.09 mt a year ago.

# India imported 17 per cent more vegetable oil in February 2017 at 1,270,443 tonnes, compared to 1,082,009 tonnes.

# At the Indore spot market in Madhya Pradesh, soyoil was steady at 654.65 Rupees per 10 kgs.