Soyabean on NCDEX settled down by -0.22% at 3182 amid improving arrivals in the physical market and expectations that the peak arrivals will be observed during the month of December. However, strong demand for oil and meal due to positive crushing margin, capped some losses. Arrivals at the spot markets declined to 60,000 bags against 330,000 bags in its previous trading session. According to market source India has received export orders of around 250,000-300,000 tons of soymeal as disparity of India soymeal to Argentina soymeal is around $1 which has tempted International buyers to buy soymeal from India. Moreover, gradual normalization of supplies may weigh on the prices in trading session amid limited at demand at higher levels due to negative crush margins. The USDA's November WASDE report projected that U. S. soybean stocks are expected to grow from 197 million bushels to 480 million bushels. For soybeans, there is a general expectation that U. S. producers will increase acreage in the year ahead. An increase of about 5 million acres, to 88 million harvested acres, seems to be a common expectation right now. The extremely high soybean yields of the past three years raise some questions about a potential increase in the trend yield. However, if the 2017 U. S. average soybean yield is near our calculated linear trend value of 47.5 bushels and acreage is increased as expected, the 2017 crop would total 4.18 billion bushels, 181 million bushels less than the 2016 harvest. At the Indore spot market in top producer MP, soybean dropped -19 rupee to 3112 rupee per 100 kgs. Technically now Soyabean is getting support at 3166 and below same could see a test of 3150 level, And resistance is now likely to be seen at 3195, a move above could see prices testing 3208.

Trading Ideas:

Soyabean trading range for the day is 3150-3208.

Soyabean prices dropped amid improving arrivals in the physical market and expectations that the peak arrivals will be observed.

Arrivals at the spot markets declined to 60,000 bags against 330,000 bags in its previous trading session.

NCDEX accredited warehouses soyabean stocks gained by 2773 tonnes to 97964 tonnes.

At the Indore spot market in top producer MP, soybean dropped -19 rupee to 3112 rupee per 100 kgs.