Soyabean yesterday settled up 2.55% at 3445 due to strong export demand of soyameal along with bullish cues from international market. Sources mentioned that strong demand of soyameal at lower levels will propel strong offtake of soyabean by millers. As per the latest release from Solvent Extractors' Association of India, the export of soyameal during August 2013 is reported at 1.83 lakh tonnes compared to 0.10 lakh tonnes in August 2012 i. e. up by 1730%.Similarly, bullish cues from international market will also add some gains in domestic soyabean market. USDA latest weekly crop report stated that soybean conditions took a similar slide in the last week, losing 2% in the crop rated good to excellent. For soybeans in Iowa, the rating fell by 6% (from 39% to just 33%) in the last week . This will reduce the overall yield of the soyabean crop in the current year. Arrivals of soyabean in Madhya Pradesh state dropped by -5000 bags of 100kg each to 55000 bags of 100kg each. Arrivals of soyabean in Maharashtra state gained by 5000 bags of 100kg each to 35000 bags of 100kg each. Moreover, new soybean crop arrivals noticed in some areas of Maharashtra. Soybean plant delivery prices are likely to feature range bound movement on higher soybean acreage and production estimates. On the international market, investors are keeping an eye on the weather. At the Indore spot market in top producer MP, soybean gained 3 rupee to 3525 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -1.52% to settled at 98040 while prices up 85.5 rupee, now Soyabean is getting support at 3380 and below same could see a test of 3316 level, And resistance is now likely to be seen at 3482, a move above could see prices testing 3520.

Trading Ideas:

Soyabean trading range for the day is 3307-3511.

Soyabean ended with gains due to strong export demand of soyameal along with bullish cues from international market.

Sources mentioned that strong demand of soyameal at lower levels will propel strong offtake of soyabean by millers.

Bullish cues from international market will also add some gains in domestic soyabean market.

At the Indore spot market in top producer MP, soybean gained 3 rupee to 3525 rupee per 100 kgs.