Ref.Soyaoil on NCDEX settled up by 0.48% at 624.5 on buying at lower level amid hopes of higher demand for soymeal in export marker. Export demand for Indian soymeal may rise as meal is disparity of $35 per tons as compared to Argentine soymeal. Large supply estimate of South America with good Indian oilseeds crop led the domestic soyoil price under pressure. According to trader, inventories with traders and stockiest is sufficient and they have opted to buy as per requirements to cater retail demand. Meanwhile, government lowered the base import price of crude soyoil by $21 to $784 per tonnes for first half of April which may pressurize edible oil. There is expectations of bumper oilseeds output and higher availability of edible oil in the country. According to United States Department of Agriculture (USDA) April estimate, U.S 2016/17 ending stocks of soy oil is increased to rise to 2,122 million lbs from 1,772 million lbs in March estimate. Opening stocks were unchanged at 1,687 million lbs. Production of soy oil in 2016/17 is unchanged at 22,560 million lbs. Imports in 2016/17 are kept unchanged at 325 million lbs. Biodiesel use in 2016/17 was unchanged at 6,200 million lbs. Food, feed and other industrial use in 2016/17 is decreased to 14,000 million lbs compared to 14,350 million lbs in its March estimate. At the Indore spot market in Madhya Pradesh, soyoil was steady at 635.55 Rupees per 10 kgs.Technically market is under fresh buying as market has witnessed gain in open interest by 0.17% to settled at 58110 while prices up 3 rupees, now Ref.Soya oil is getting support at 619 and below same could see a test of 615 level, And resistance is now likely to be seen at 626, a move above could see prices testing 629.

Trading Ideas:

Ref.Soya oil trading range for the day is 615-629.

Ref soyoil prices gained on buying at lower level amid hopes of higher demand for soymeal in export marker.

Export demand for Indian soymeal may rise as meal is disparity of $35 per tons as compared to Argentine soymeal.

U.S 2016/17 ending stocks of soy oil is increased to rise to 2,122 million lbs from 1,772 million lbs in March estimate.

At the Indore spot market in Madhya Pradesh, soyoil was steady at 635.55 Rupees per 10 kgs.