Soyabean settled up 1.39% at 3839 due to lower supplies from the major producing belts and gains in the overseas market. Further, hopes of higher demand for both soyabean and soya oil during the ensuing marriage season and weaker rupee too supported the commodity, though expectation of higher output from the major producing belts capped the gains in soyabean prices to some extent. The Soybean Processors Association (SOPA) slashed its second estimates for soybean production to 12.2 tons in Kharif 2013 compared to 12.9 tons previous estimates and 12.1 tons previous year.   Madhya Pradesh, India's biggest soybean growing state production estimates downward to 5.61 million tons compared to previous estimates of 6.26 million tons, data release from SOPA showed. Brazil’s estimated 2013/14 soybean crop at 89.5 million tonnes, above the USDA's official forecast of 89 million tonnes and sharply up from 81.6 million tonnes last year. Rains in hot, dry areas of Argentina improved the outlook for soybean production. Arrivals of soyabean in Madhya Pradesh state dropped by -40000 bags of 100kg each to 60000 bags of 100kg each. Arrivals of soyabean in Maharashtra state gained by 10000 bags of 100kg each to 100000 bags of 100kg each. At the Indore spot market in top producer MP, soybean gained  4 rupee to 3998 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -4.93% to settled at 116360 while prices up 52.5 rupee, now Soyabean is getting support at 3809 and below same could see a test of 3779 level, And resistance is now likely to be seen at 3854, a move above could see prices testing 3869.

Trading Ideas:

Soyabean trading range for the day is 3777-3867.

Soyabean ended higher due to lower supplies from the major producing belts and gains in the overseas market.

Further, hopes of higher demand for both soyabean and soya oil during the ensuing marriage season too supported the prices

Arrivals of soyabean in Madhya Pradesh state dropped by -40000 bags of 100kg each to 60000 bags of 100kg each.

At the Indore spot market in top producer MP, soybean gained  4 rupee to 3998 rupee per 100 kgs.