Soyabean settled down -0.83% at 4295 driven by sluggish demand in the spot market. However, expectations of lower production after the reports of low and delayed monsoon, capped losses in soyabean prices to some extent. Indian framers in key oilseed growing areas across India start planting of soybean one-week after commencement of southwest rainfall. With the forecast of untimely rainfall sowing process is expected to be delayed. The Indian Metrological Department (IMD) has forecasted below normal rainfall this year with 33% of rainfall deficiency in Jun-Sep period. Supplies in the local mandis across Madhya Pradesh continue to be below 35,000 bags of 100 kilograms each which is also supporting the prices. The United States soybean inventories is estimated at 127 million bushels as on Aug 31 compared to its previous month's forecast of 130 million bushels, various surveys showed. India’s oilmeal shipments almost halved in May from the corresponding period to 153,761 tonnes due to a plunge in soy meal shipments. India’s soy meal exports plunged to 8,226 tonnes in May from 96,492 tonnes during the same period last year. India’s oilmeal shipments fell 9.8 percent from a year earlier to 4.3 million tonnes in the 2013/14 fiscal year that ended in March. At the Indore spot market in top producer MP, soybean gained  1 rupee to 4345 rupee per 100 kgs. Technically market is under fresh selling as market has witnessed gain in open interest by 1.54% to settled at 109030 while prices down -36 rupee, now Soyabean is getting support at 4273 and below same could see a test of 4246 level, And resistance is now likely to be seen at 4336, a move above could see prices testing 4372.

Trading Ideas:

Soyabean trading range for the day is 4245-4371.

Soyabean ended with losses driven by sluggish demand in the spot market.

However, expectations of lower production after the reports of low and delayed monsoon limited the downside.

NCDEX accredited warehouses soyabean stocks gained by 1685 tonnes to 10254 tonnes.

At the Indore spot market in top producer MP, soybean gained  1 rupee to 4345 rupee per 100 kgs.