Soyabean on NCDEX settled down by -1.71% at 2929 as ample supplies in the global markets weighing on prices. Prices of the bean will be under pressure as soybean crushing is in huge disparity of Rs 500 per ton which is keeping the crushers sideline from buying soybean. Though, increase in exports of soybean meal capped some losses. The Soybean Processors Association of India has raised the estimate for soy meal exports in 2016-17
(October-September) to 1.8 mt from 1.0 mt projected earlier. Arrivals is expected to fall next week as farmers are not ready to sell crops below Rs 2,800-2,850 per quintal, which is near to its minimum support prices. US soybean crushers crushed higher than the market expectations in January, third highest January crush on record, said National Oilseed Processors Association. NOPA reported that its members have processed 160.621 million bushels during January, up from 150.453 million bushels during the corresponding period last year and also up from 160.176 million bushels in December 2016. US soy meal shipments stood at 891,143 tons up from 686,493 tons during the corresponding period last year but down from 949615 tons in December 2016. The US soyoil inventories of January 31 surged to 1.629 billion Ibs from 1.582 billion Ibs in January 2016 and also from from 1.434 billion Ibs at the end of December. At the Indore spot market in top producer MP, soybean dropped -11 Rupees to 3025 Rupees per 100 kgs. Technically market is under fresh selling as market has witnessed gain in open interest by 12.73% to settled at 157680 while prices down -51 rupees, now Soyabean is getting support at 2900 and below same could see a test of 2870 level, And resistance is now likely to be seen at 2980, a move above could see prices testing 3030.

Trading Ideas:

Soyabean trading range for the day is 2870-3030.

Soyabean prices dropped as ample supplies in the global markets weighing on prices.

Prices remaimed under pressure as soybean crushing is in huge disparity of Rs 500 per ton which is keeping the crushers sideline.

NCDEX accredited warehouses soyabean stocks dropped by 107 tonnes to 217104 tonnes.

At the Indore spot market in top producer MP, soybean dropped -11 Rupees to 3025 Rupees per 100 kgs.