Ref. Soya oil settled up 0.44% at 692 on higher demand amid extended gain in the spot market. Weak demand is soymeal is affecting domestic market sentiment. Supplies, too, are weak as farmers are holding back their produce in expectations of better prices.

Also, bad weather and rains in many areas disrupted supplies. 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. The import of vegetable oils during September, 2013 is reported at 863,917 tons compared to 993,912 tons, year-on-year basis, down by 13%, according to Solvent Extractors Association of India (SEA). India's export of oil meals in October 2013, reported at 368,317 tons higher when compared to 122,108 tons, year-on-year basis.

The export of oil meals during April-October 2013 was at 2,019,582 tons compared to 1,749,412 tons, up by 15% year-on-year basis, as per SEA data. Higher soybean, sunflower seed, and rapeseed forecasts account for most of the change. Global soybean production is projected at 283.5 million tons, up 1.9 million as the increase for the United States more than offsets reductions for India, Canada, Russia, and Ukraine, as per USDA WASDE. At the Indore spot market in Madhya Pradesh, soyoil was steady at 697.05 rupees per 10 kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 3.08% to settled at 126640 while prices up 3 rupee, now Ref. Soya oil is getting support at 688 and below same could see a test of 684 level, And resistance is now likely to be seen at 695, a move above could see prices testing 698.

Trading Ideas:

Ref. Soya oil trading range for the day is 684-698.

Ref soyoil ended with gains on higher demand amid extended gain in the spot market.

Weak demand is soymeal is affecting domestic market sentiment.

Supplies, too, are weak as farmers are holding back their produce in expectations of better prices.

At the Indore spot market in Madhya Pradesh, soyoil was steady at 697.05 rupees per 10 kgs.