Commodity Trading Tips for Soyabean by KediaCommodity

Ajay Kumar Kedia 13 February 2014

Soyabean settled up 0.65% at 3884 due to expectations of higher demand for both soyabean and soyaoil during the ensuing marriage season. However, weak export demand for soya meal kept Soybean prices under pressure. Weak cues from soybean futures in the US, where they are expecting a bumper South American crop, prospects of higher rapeseed production in India and the conducive weather condition capped the gains in Soyabean. USDA left its outlook for soybean ending stocks unchanged at 150 million bushels, slightly above the average trade estimate of 143 million bushels. Soybeans though they did increase export demand as expected and reduced imports and cut residual figures. Soybeans dropped for a second day after the U. S. Department of Agriculture increased its estimates for global production and stockpiles. India soymeal exports plunged 41% in the first month of the New Year as extended rainfall had adverse affected crop quantity and quality which hampered arrivals and crushing. Arrivals of soyabean in Madhya Pradesh state gained by 55000 bags of 100kg each to 90000 bags of 100kg each. Arrivals of soyabean in Maharashtra state gained by 10000 bags of 100kg each to 100000 bags of 100kg each. Arrivals of soyabean in Rajasthan state gained by 5000 bags of 100kg each to 35000 bags of 100kg each. At the Indore spot market in top producer MP, soybean gained 9 rupee to 4007 rupee per 100 kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 1.04% to settled at 113880 while prices up 25 rupee, now Soyabean is getting support at 3868 and below same could see a test of 3852 level, And resistance is now likely to be seen at 3899, a move above could see prices testing 3914.