Ref. Soyaoil on NCDEX settled up by 2.86% at 664.35 tracking global cues amid buying at lower level in domestic market. Further soy oil supply in local market likely to rise due to robust crop in the country, which may result in better availability of soyoil and reduce dependency on imports. Buyers are anticipating that soyoil will be available at lower range due to sufficient availability, so they are not in hurry and doing need-based buying. Weekly export data published by United States Department of Agriculture (USDA) showed net sales of soyoil rose by 29% in the week ended to Feb 10 as compared to the pervious week to 12,700 tons. However it is down by 52% from the prior 4-week average. India's soybean oilmeal exports during January climbed multi fold to 155,160 tons as compared to 28,400 tons in January 2015, data published by Solvent Extractors Association of India (SEA) showed. On the domestic front, the availability of more domestic soya oil on the back of ample soyabean supplies is dragging down the prices of soya oil derivatives. As per USDA, in 2016-17, soya oil production in India is expected to be around 1.62 million tonnes (mt), up 55 per cent from the previous year. Moreover the overall supplies are seen rising by 2 per cent compared to last year. However, the imports of soya oil are likely to decline by 11 per cent to 3.8 mt. The carryover stock from 2015-16 is estimated to be around 0.531 mt, which is the highest till date. At the Indore spot market in Madhya Pradesh, soyoil was steady at 666.55 Rupees per 10 kgs. Technically now Ref. Soya oil is getting support at 653 and below same could see a test of 641 level, And resistance is now likely to be seen at 671, a move above could see prices testing 677.

Trading Ideas:

# Ref. Soya oil trading range for the day is 641-677.

# Ref soyoil prices gained tracking global cues amid buying at lower level in domestic market.

# Weekly export data published by United States Department of Agriculture (USDA) showed net sales of soyoil rose by 29%.

# India's soybean oilmeal exports during January climbed multi fold to 155,160 tons as compared to 28,400 tons in January 2015.

# At the Indore spot market in Madhya Pradesh, soyoil was steady at 666.55 Rupees per 10 kgs.