Mentha Oil yesterday traded with the positive node and settled 1.25% up at 1450.70 as fresh buying seen in the mandis from the Pharmaceutical Industry amidst some export queries. While winter season demand picked up again at the lower levels that can be seen clearly from the open interest increased in the market by +8.63% since last 2 days which is likely to support the rates. While short term trend is likely to remain volatile with medium term trend looking firm on expected further pick up in winter season demand. Initially we have seen pressure building in the morning session as adequate stocks position in the physical market also fuelled the downtrend with sowing activities have significantly increased this year due to last year's higher spot market prices. In Uttar Pradesh, the largest producer of Mentha oil, the area under sowing is expected to rise to 2.10 lakh ha as against 1.75 lakh ha of last year. In Rampur, mentha oil quoted at Rs 1,605 per kg, in Chandausi Rs 1,615 per kg, in Sambhal at Rs 1,620 a kg, in Barabanki at Rs 1,565-1,570 a kg. On 26th December, total stock of mentha oil at MCX-monitored warehouses at Chandausi was 76,927 kg of which 73, 329 kg was physical stock and demat stock was 3,598 kg. At Barabanki, the total stock was 11, 55, 707 kg of which, physical stock accounted for 10, 58, 865 and demat stock was 96, 842 kg. In yesterday's trading session menthol oil has touched the low of 1427 after opening at 1432.1, and finally settled at 1450.7. For today's session market is looking to take support at 1432.6, a break below could see a test of 1414.6 and where as resistance is now likely to be seen at 1463.1, a move above could see prices testing 1475.6.

MENTHA OIL

Mentha oil trading range for the day is 1415.4-1476.4.

Menthaoil spot is at 1618/- Spot market is up by Rs. 18/-.

Mentha oil settled 1.25% up as fresh buying seen in the mandis from the Pharmaceutical Industry amidst some export queries.

Sowing activities have significantly increased this year due to last year's higher spot market prices.

Initially pressure seen as adequate stocks position in the physical market also fuelled the downtrend

BUY MENTHAOIL JAN ABV 1436 SL 1428 TGT 1445-1454-1462. MCX BTST