Pepper September delivery gained Rs 576 and settled at Rs 20833/quintal on firm export demand and low stocks. Talk of export default by Vietnam also supporting prices. There is tight supply position and importing nations have lower stocks. Strong domestic demand from the local traders is also present while farmers are not selling and arrivals in local mandies continued to be lower. Spot pepper dropped -87.5 rupees to 19987.5 rupees per 100 kg in Kochi market. Open interest was also seen up by 7.8%. The contract touched the intraday high of Rs 21040/quintal while low of Rs 19910/quintal. Now support for the pepper is seen at 20149 and below could see a test of 19464. Resistance is now likely to be seen at 21279, a move above could see prices testing 21724.

Trading Ideas:

Pepper trading range is 19483-21743.

Pepper ended higher on firm export demand and low stocks

Support for the pepper is seen at 20680 and resistance is at 21000.

NCDEX accredited warehouses pepper stocks rose by 29 tonnes 4296 tonnes.

Spot pepper dropped -87.5 rupees to 19987.5 rupees per 100 kg in Kochi market.