Soyabean on NCDEX settled down by -1.08% at 3026 tracking weakness in spot demand in anticipation of higher supply. However downside seen limited on higher soymeal demand hope as Indian meal prices are competitive in the export market. In addition to its demand of soymeal by poultry feed manufacturers has revived due to increased price of broiler chicken in retail market. In near term farmer may sell soybean in large quantities as they are not getting desirable prices after holding it for four months and also they will harvest the rabi crops whose prices are also less due to which they will sell more soybean and hold rabi crops for one or two months. Exports of soybean oilmeal during January climbed multi fold to 155,160 tons as compared to 28,400 tons in January 2015, data released from Solvent Extractors Association of India (SEA) showed. The United States department of agriculture (USDA) in its World Agriculture Supply and Demand Estimates report left its forecast of US 2016-17 soybean ending stocks unchanged at 420 million bushels which was above an average of trade estimates for 410 million. In addition to that, Government agency Conab raised its forecast of Brazil's soybean crop to a record 105.6 million tons, up from 103.8 million tons in January. The USDA expects soybean output in US, the world's biggest bean grower, at 117.2 million tons in February unchanged from the previous month while lower than 106.9 million tons a year ago. At the Indore spot market in top producer MP, soybean dropped -30 Rupees to 3041 Rupees per 100 kgs. Technically now Soyabean is getting support at 3007 and below same could see a test of 2987 level, And resistance is now likely to be seen at 3056, a move above could see prices testing 3085.

Trading Ideas:

# Soyabean trading range for the day is 2987-3085.

# Soyabean prices ended with losses tracking weakness in spot demand in anticipation of higher supply.

# However downside seen limited on higher soymeal demand hope as Indian meal prices are competitive in the export market.

# NCDEX accredited warehouses soyabean stocks gained by 4953 tonnes to 200528 tonnes.

# At the Indore spot market in top producer MP, soybean dropped -30 Rupees to 3041 Rupees per 100 kgs.