Commodity Trading Tips for Ref. Soya Oil by KediaCommodity

Ajay Kumar Kedia 16 June 2014

Ref-Soya-Oil Ref.Soya Oil settled up 1.78% at 679.3 on limited supplies in the domestic market and on improved buying. Delayed monsoon may give way to late sowing which may affect productivity. Also, demand for soybean seed ahead of the new Kharif season is also supporting the prices. Seed demand may continue to support the prices this week and the prices may gain further. The USDA also lowered 2013-14 US soybean ending stockpiles to 125 million bushels compared previous estimates of 130 million bushels. United States 2014-15 soybean stockpiles were lowered to 325 million bushels compared to previous estimates of 330 million bushels. 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. India's vegetable oils import rose by 27% to 8.32 lakh tonne in April this year on account of sharp increase in shipment of crude palm oil (CPO) and crude soft oils, industry body SEA said. Vegetable oils import stood at 6.54 lakh tonne in the same month of the previous year, it said in a statement. At the Indore spot market in Madhya Pradesh, soyoil was steady at 696.45 rupees per 10 kgs. Technically market is under short covering as market has witnessed drop in open interest by -3.6% to settled at 169560 while prices up 11.9 rupee, now Ref.Soya oil is getting support at 672 and below same could see a test of 665 level, And resistance is now likely to be seen at 684, a move above could see prices testing 689.