Commodity Trading Tips for Turmeric by KediaCommodity

Ajay Kumar Kedia 12 August 2014

Turmeric settled down -3.62% at 6594 due to subdued demand in the spot market. But, rising exports demand along with improvement in quality of arrivals in the physical market capped some losses in turmeric prices to some extent. Spot turmeric prices increased in Erode markets as some traders have received limited orders from North India. Spot turmeric was up Rs. 100-150 a quintal traders expect more demand from North India. Local traders purchased huge stocks. Arrivals also increased to 6,500 bags and 70 per cent of them was sold. Because of the arrival of medium quality hybrid finger and root varieties turmeric, traders quoted a higher price. It was sold Rs. 200 more than previous day's price. At Erode Turmeric Merchants Association sales yard, the finger turmeric was sold at Rs. 4,225-6,528 a quintal; the root variety Rs. 4,032-6,686. At the Erode Cooperative Marketing Society, the finger turmeric fetched Rs. 5,669-6,668; the root variety Rs. 5,669-6,599. Of the 1,292 bags that arrived, 1,242 found takers. The market projected that the total production of turmeric in the current year is estimated at 52 lakh bags against 70 lakh bags that were estimated in the last year. In Sangli arrivals are at 1000 quintals, higher by 1000 quintals as against previous day. In Nizambad Estimated market supply was at 2500 quintals, unchanged as compared to previous day's arrival. In Nizamabad, a major spot market in AP, the price ended at 6292.5 rupees dropped -61.25 rupees. Technically market is under fresh selling as market has witnessed gain in open interest by 5.89% to settled at 15725 while prices down -248 rupee, now Turmeric is getting support at 6488 and below same could see a test of 6381 level, And resistance is now likely to be seen at 6786, a move above could see prices testing 6977.