Chana gained Rs 32 and settled at Rs 3060 per quintal as physical demand improved ahead of upcoming festivals such as Ramadan next month. Prospects of higher Pulses production were reported. Traders expect that with rising Festive demand, moderate firmness will remain in short term with intermittent profit booking at the higher levels. The latest Govt estimates put Pulses production at 18.09 million tonnes in 2010-11 vs 14.66 million tonnes the previous year-thus raising production estimates by ~23%.The total daily arrivals of chana were hovering at higher levels of around 0.50 lakh bags in the entire major mandies. A drop in area of summer-sown pulses may also support prices, analysts said. As on July 15, acreage under summer-sown pulses stood at 3.61 million hectares against 4.3 million hectares a year ago, farm ministry data showed last week. In Delhi spot market, chana jump up by 66.05 rupee to end at 2916.05 rupee per 100 kgs. The volume was noted at 160170 lots. Support for chana is at 3039 below that could see a test of 3019. Resistance is now seen at 3073 above that could see a resistance of 3087.

Trading Ideas:

Chana trading range is 3019-3087.

Chana gained as physical demand improved ahead of upcoming festivals

Chana is taking resistance at 3073 and support is seen at 3039.

NCDEX accredited warehouses chana stocks gained by 178 tonnes to 157259 tonnes.

In Delhi spot market, chana jump up by 66.05 rupee to end at 2916.05 rupee per 100 kgs.