Wheat yesterday traded with the negative node and settled -1.07% down at 1482 on improved sowing reports in major wheat growing regions of the country. Wheat exports from India are only viable at $300 per tonne free on board (FOB) or above, and a steep fall in global wheat prices would make exports unprofitable. Farmers in India had planted wheat on 28.6 million hectares, slightly higher than the 28.1 million hectares in the previous year. Weather conditions should also help produce a bumper crop. Higher production of wheat could put pressure on the government to sell more in the open market to free space for storing the new season crop and will further drag down prices in local markets. Wheat stocks at government warehouses were at 34.4 million tonnes on Jan. 1, more than four times a target of 8.2 million tonnes. state-run trading company PEC Ltd got the highest bids at $321 per tonne in its latest export tender, aimed at reducing bloated government stocks. In Delhi wheat prices gained 1.4 rupee to end at 1576.55 rupees per 10 kg. In yesterday's trading session Wheat has touched the low of 1482 after opening at 1495, and finally settled at 1482. For today's session market is looking to take support at 1477.3, a break below could see a test of 1472.7 and where as resistance is now likely to be seen at 1491.3, a move above could see prices testing 1500.7.

WHEAT

Wheat trading range for the day is 1473-1501.

Wheat ended lower on improved sowing reports in major wheat growing regions of the country.

Farmers in India had planted wheat on 28.6 million hec, slightly higher than the 28.1 million hec in previous year

Higher production of wheat could put pressure on the government to sell more in the open market

In Delhi wheat prices gained 1.4 rupee to end at 1576.55 rupees per 10 kg.

SELL WHEAT FEB @ 1485 SL 1492 TGT 1480-1464.NCDEX