Soyabean on NCDEX settled up by 0.72% at 2918 on account of lower supplies at the spot market. However, weak cues from international markets following reports of bumper crops, capped some gains. The supplies have been lower due to lower prevailing prices. There is steady domestic as well as export demand at lower levels. Soybean exports during Oct-Feb were estimated at 112,000 tonnes, compared with 80,186 tonnes in the year-ago period, as per SOPA press release. Arrivals during February fell to 650,000 tons as compared to 900,000 tons in January. U. S. soybean futures closed little higher on Tuesday on bargain buying after prices fell for 10 of the previous 11 sessions. The expectations for the huge South American harvest may check upward movement. Brazil's Abiove soy industry association pegged the country's soybean crop, at 107.3 mt, up from its Feb forecast of 104.6 mt. The US Department of Agriculture (USDA) recently raised its global production forecast for the 2016-17 fiscal, driven by higher output estimate for Brazil. In India too, production is set to rise sharply, after two years of drought. Over the past year, soyabean has lost about 24 per cent, after peaking at Rs. 4,200/per quintal at the beginning of the year. There was a slight uptick in November but prices have come under renewed pressure of late, falling nearly 9 per cent so far in 2017. At the Indore spot market in top producer MP, soybean gained 2 Rupees to 3034 Rupees per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -3.05% to settled at 186720 while prices up 21 rupees, now Soyabean is getting support at 2894 and below same could see a test of 2870 level, And resistance is now likely to be seen at 2940, a move above could see prices testing 2962.

Trading Ideas:

# Soyabean trading range for the day is 2870-2962.

# Soyabean prices ended with gains on account of lower supplies at the spot market.

# Soybean exports during Oct-Feb were estimated at 112,000 tonnes, compared with 80,186 tonnes in the year-ago period, as per SOPA data.

# NCDEX accredited warehouses soyabean stocks dropped by 2694 tonnes to 199277 tonnes.

# At the Indore spot market in top producer MP, soybean gained 2 Rupees to 3034 Rupees per 100 kgs.