Wheat yesterday settled up 0.25% at 1579 due to weak arrivals of wheat in local mandies along with strong demand of private millers at higher levels. Indian wheat particularly produced in Madhya Pradesh is high on demand in the international market, food ministry officials said. Beating the earlier trend when more and more Indian wheat was believed to be imported for animal feed in many countries now because of the good quality produce in MP, Punjab and Haryana are being used for human consumption. During current financial year, government plans to export another 20 lakh tonne wheat at reserved price of $300 per tonne. India is the world's second-largest wheat producer. It would soon resume exports after a gap of three months. The government aims to earn $600 million by exporting 2 million tonnes of wheat from government warehouses. In August, the government allowed the FCI to export 2 million tonnes of wheat as part of its efforts to cut down huge stocks at its warehouses. Earlier, the government had allowed FCI to export 4.5 million tonnes of wheat of which 4.2 million tonnes have been shipped out, helping the government earn $1.4 billion, said. Technically market is under fresh buying as market has witnessed edged up in open interest by 6.38% to settled at 10510 while prices up 4 rupee, now Wheat is getting support at
1569 and below same could see a test of 1560 level, And resistance is now likely to be seen at 1585, a move above could see prices testing 1592.

Trading Ideas:

Wheat trading range for the day is 1558-1590.

Wheat ended with gains due to weak arrivals of wheat in local mandies along with strong demand of private millers

Government aims to earn $600 million by exporting 2 million tonnes of wheat from government warehouses.

Indian wheat particularly produced in Madhya Pradesh is high on demand in the international market.