Guar seed yesterday traded with the positive node and settled 0.04% up at 2419, due to bargain-buying triggered by a fall in the daily arrivals amid spot demand. Some support had been seen from the spot market also where in Jodhpur guar prices gained 21.8 rupees to 2321.4 rupees per 100 kg. Guar seed output in Rajasthan, the country's top producer, is expected to rise to 1.51 million tonnes in 2010/11, boosted by higher area and good monsoon rains. For today's session market is looking to take support at 2404, a break below could see a test of 2389 and where as resistance is now likely to be seen at 2441, a move above could see prices testing 2463.

Trading Ideas:

Guar trading range is 2391-2465.

Guar traded in the range on low demand as exporters chose to stay away from the market.

Guar seed output is expected to rise to 1.51mts in 2011, boosted by higher area and good monsoon

Higher margins on the buy position are also weighing on sentiment and further fall can be seen in the market

SELL GUAR JAN @ 2440 SL 2075 TGT 2416-2395.NCDEX

In Jodhpur guar prices gained 21.8 rupees to 2321.4 rupees per 100 kg.