Commodity Trading Tips for Soyabean by KediaCommodity

Ajay Kumar Kedia 17 January 2014

Soyabean settled up 0.24% at 3716.5 tracking firm spot demand as bad weather condition in Argentina triggered fear that the crop yield may be hampered and on robust demand from China. Global cues are very positive on back of some weather concerns in Argentina. Argentina may produce 53.5 million tons compared to 49.3 million tons in 2012-13 season, the US Department of Agriculture (USDA) said. The oilseed prices were also supported after reports showed China imported US soybean indicating improved demand from the world's biggest bean consumer. US private exporters reported soybeans sales of 106,000 to China during the marketing year 2014-15, the US Department of Agriculture (USDA) said on Wednesday. Also, robust export inspection data from the world's biggest bean producer indicated improved demand for US soybean. US soybean export inspection came at 59.38 million bushel for the week ended Jan 9 compared to 58.79 million bushel a week ago, the US department of agriculture (USDA) said on Monday. In central Argentina, a new round of extreme heat continues are expected to develop Tuesday and should last into Saturday. Hot and dry weather conditions to reduce soil moisture for soybean, said DNT progressive farmer in their website. Arrivals of soyabean in Rajasthan state gained by 5000 bags of 100kg each to 20000 bags of 100kg each. At the Indore spot market in top producer MP, soybean gained 35 rupee to 3791 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -3.42% to settled at 109780 while prices up 9 rupee, now Soyabean is getting support at 3705 and below same could see a test of 3694 level, And resistance is now likely to be seen at 3734, a move above could see prices testing 3752.