Ref Soyaoil yesterday traded with the negative node and settled -0.23% down at 708.9 due to weak export demand for soymeal and a rise in supplies in local spot markets. Global oilseed trade for 2012/13 is projected at 114.4 million tons, down 1.4 million mainly reflecting reduced soybean trade. Lower soybean exports projected for Argentina, Brazil, and Paraguay are only partly offset by increases for Uruguay and the United States. Lower exports in Paraguay reflect higher crush as new capacity becomes operational. Soybean imports are reduced 2 million tons to 61 million for China reflecting lower-than-expected imports for the first half of the marketing year. Higher soybean imports are projected for several countries including Egypt, EU-27, Mexico, and Vietnam. Global soybean ending stocks are projected at 62.6 million tons, up 2.4 million as gains in Brazil and Argentina more than offset lower stocks in China. As per the latest release from the Solvent Extractors' Association of India , the import of vegetable oils during March 2013 is reported at 8.96 lakh tonnes compared to 7.27 lakh tonnes in March 2012, consisting of 8.50 lakh tonnes of edible oils and 0.45 lakh tonnes of non-edible oils i.e. up by 23.22 %. The overall import of vegetable oils durring Nov.'12 to March.'13 is reported at 46.31 lakh tonnes compared to 37.89 lakh tonnes, i.e. up by 22.23%. At the Indore spot market soyoil edged down -1.35 rupees to 724.5 rupees 10 kg. In yesterday's trading session Ref Soyaoil has touched the low of 706.8 after opening at 708, and finally settled at 708.9. For today's session market is looking to take support at 706, a break below could see a test of 703 and where as resistance is now likely to be seen at 712.7, a move above could see prices testing 716.4.

Trading Ideas:

Ref soyaoil trading range for the day is 703.03-716.43.

Ref soyoil ended with losses due to weak export demand for soymeal and a rise in supplies in local spot markets.

Global oilseed trade for 2012/13 is projected at 114.4 million tons, down 1.4 million mainly reflecting reduced soybean trade.

Higher soybean imports are projected for several countries including Egypt, EU-27, Mexico, and Vietnam.

At the Indore spot market soyoil edged down by -1.35 rupee to 724.5 rupees 10 kgs.