Pepper yesterday traded with the positive node and settled 1.9% up at 22932 as lower stocks with major producing countries and weaker daily supplies prompted buying. Fresh arrivals in good quantity are expected to start by mid-January delayed due to unseasonal rain. Demand in the local market is steady and likely to continue till mid January. Weakness in the overseas demand, however, limited the upside. India's pepper exports in April-November 2010 fell 17 percent to 11,500 tonnes. In Kochi, a key market for the commodity in Kerala, pepper dropped 48 rupees to end at 22,043 rupees per 100 kg. For today's session market is looking to take support at 22641, a break below could see a test of 22351 and where as resistance is now likely to be seen at 23118, a move above could see prices testing 23305.

Trading Ideas:

Pepper trading range is 22351-23305.

Pepper recovered from previous fall and settled up nearly 2% on domestic demand and low arrival.

Export demand has been weak due to higher prices of pepper.

India's pepper exports in April-November 2010 fell 17 percent to 11,500 tonnes.

SELL PEPPER JAN BELOW 22850 SL 23000 TGT 22700-22560-22480.NCDEX

Spot pepper gained 150 rupees to 22192.85 rupees per 100 kg in Kochi market.