Guar yesterday we have seen that market has moved 1.26% on bargain hunting, supported by weak supplies. Demand in the spot market is steady. Supplies are very poor and this is supporting prices at lower levels. A severe drought had pulled down guar seed output in Rajasthan by over 80 percent last year, resulting in supply shortage. In Jodhpur guar prices gained 20.75 rupees to 1983.1 rupees per 100 kg. Market has opened at 2004 & made a low of 1986 versus the day high of 2030. The total volume for the day was at 263470 lots and the open interest was at 148790.Now support for the guar is seen at 1989 and below could see a test of 1966. Resistance is now likely to be seen at 2033, a move above could see prices testing 2054.

Trading Ideas:

Guar trading range is 1968-2056.

Guar settled higher on bargain hunting supported by weak supplies

Guar is getting resistance at 2033 and support is at 1989 level

NCDEX accredited warehouses guar stocks fell 49 tonnes to 20201 tonnes.

In Jodhpur guar prices gained 20.75 rupees to 1983.1 rupees per 100 kg.