Soyabean on NCDEX settled up by 0.58% at 3137 following higher prices in international market and good domestic demand. The government, in its first advanced estimate of the 2016-17 kharif season, has projected a record output of 23.3 million tonnes (mt) of oilseeds crop. But it's a number that all stakeholders, including the industry, importers and traders, find hard to digest. The expected output for soybean is 14.22 mt, while groundnut production is pegged at 6.49 mt. Last year, according to SOPA, India's soybean production was
6.92 mt due to poor rains and this year it is expected to be higher because of good rains in all the major soybean growing states. With uncertain climatic conditions prevailing in Brazil, soybean sowing is expected to be slower. Moreover, Soybean arrivals in the spot markets were 600,000 bags, down 150,000 bags from previous day. The US Department of Agriculture confirmed that private exporters sold 185,000 tons of US soybeans to unknown destinations for delivery in the 2016/17 marketing year. The government, in its first advanced estimate of the 2016-17 kharif season, has projected a record output of 23.3 million tonnes of oilseeds crop. But it's a number that all stakeholders, including the industry, importers and traders, find hard to digest. The expected output for soybean is 14.22 mt, while groundnut production is pegged at 6.49 mt. At the Indore spot market in top producer MP, soybean gained 42 rupee to 3009 rupee per 100 kgs. Technically market is under short covering as market has witnessed drop in open interest by -6.88% to settled at 105780 while prices up 18 rupee, now Soyabean is getting support at 3115 and below same could see a test of 3093 level, And resistance is now likely to be seen at 3172, a move above could see prices testing 3207.

Trading Ideas:

Soyabean trading range for the day is 3093-3207.

Soyabean prices ended with gains following higher prices in international market and good domestic demand.

This year India's soybean production is expected to be higher because of good rains in all the major soybean growing states.

NCDEX accredited warehouses soyabean stocks gained by 1273 tonnes to 3138 tonnes.

At the Indore spot market in top producer MP, soybean gained 42 rupee to 3009 rupee per 100 kgs.