Guar yesterday we have seen that market has recovered from its lows on short covering but still ended down -0.45% as the monsoon advanced across the country and demand for guar seed by-products fell. Guar is weak on reports of rainfall in some parts of Rajasthan. Acreage of guar may improve if it rains well. In the Jodhpur spot market, guar dropped 27.50 rupees to end at 2,198 rupees per 100 kg. Market has opened at 2234 & made a low of 2191 versus the day high of 2238. The total volume for the day was at 194810 lots and the open interest was at 105930.Now support for the guar is seen at 2201 and below could see a test of 2172. Resistance is now likely to be seen at 2248, a move above could see prices testing 2266.

Trading Ideas:

Guar trading range is 2172-2266.

Guar ended down on firm monsoon recovering from its lows on short covering

Acreage of guar may improve if it rains well

Guar is getting resistance at 2248 and support is at 2201 level

SELL GUAR JULY @ 2250 SL 2278 TGT 2226-2200.NCDEX

In Jodhpur guar prices fell 27.50 rupees and settled at 2,198 rupees per 100 kg.