Guarseed yesterday we have seen that market has moved 0.33% on lower sowing area prospects amidst even though there were reports of exports getting adversely affected at these higher levels. Moderate rains in Rajasthan and some profit booking at the higher levels prevented the upsurge in rates as traders expect high volatility to be there this week also brought dips to the rising prices. Guar seed acreage in Rajasthan may still trail 2010's record high despite a fillip from rains last week, a state farm department official had said. The area under guar seed planting in Rajasthan, which accounts for 80 percent of India's total output, stood at 2.608 million hectares -- a jump of 210,000 hectares from Aug. 16 but behind last year's 3 million hectares in total. Guar seed arrivals standing steady at 5,000 bags in the Jodhpur Mandi. In Jodhpur guarseed prices dropped -34 rupees to 4360.2 rupees per 100 kg. Market has opened at 4480 & made a low of 4454 versus the day high of 4533. The total volume for the day was at 162970 lots and the open interest was at 134940.Now support for the guarseed is seen at 4470 and below could see a test of 4422. Resistance is now likely to be seen at 4549, a move above could see prices testing 4580.

Trading Ideas:

Guarseed trading range is 4422-4580.

Guarseed gained on lower sowing area prospects amidst despite reports of exports getting adversely affected

Guar seed acreage in Rajasthan may still trail 2010's record high despite a fillip from rains last week

Moderate rains in Rajasthan and some profit booking at the higher levels prevented the upsurge

In Jodhpur guarseed prices dropped -34 rupees to 4360.2 rupees per 100 kg.