Soyabean settled down -1.26% at 3692 on poor exports demand for soymeal and expectations of higher global supplies due to crop-friendly weather condition across the US Midwest. It has been either raining or cloudy in many parts of Madhya Pradesh hence farmers are back to fields for sowing preparation. Also, rains have reached many soybean growing areas and weather agencies predict good activity in the coming days which may give way to sowing in a few days.

Soybean output is expected to rise to record 3.8 billion bushels on yields of 45.2 bushels an acre, the USDA said last week, beating expectation of 3.78 billion bushels and also government's forecast. U. S. inventories of the oilseeds will grow to 140 million bushels by August and rise to 415 million bushels a year later after this year's record harvest, the USDA said.

Some parts of Gujarat received rains on Sunday with southwest monsoon advancing into some areas of Rajasthan and remaining parts of Madhya Pradesh which may help farmers to prepare their fields for oilseed sowing. According to Ministry of Agriculture soybean planting as on now is reported at 101,000 ha compared to 177,000 ha last year.

There are concerns over below normal monsoon season, emergence of El-Nino and shortage of seeds for kharif 2014 sowing. At the Indore spot market in top producer MP, soybean dropped -18 rupee to 4058 rupee per 100 kgs. Technically market is under long liquidation as market has witnessed drop in open interest by -2.33% to settled at 77980 while prices down -47 rupee, now Soyabean is getting support at 3654 and below same could see a test of 3620 level, And resistance is now likely to be seen at 3728, a move above could see prices testing 3768.

Trading Ideas:

Soyabean trading range for the day is 3622-3770.

Soyabean prices ended with losses on poor exports demand for soymeal and expectations of higher global supplies.

Rains have reached many soybean growing areas and weather agencies predict good activity in the coming days which may give way to sowing.

Soybean output is expected to rise to record 3.8 billion bushels on yields of 45.2 bushels an acre, the USDA said.

At the Indore spot market in top producer MP, soybean dropped -18 rupee to 4058 rupee per 100 kgs.