Commodity Trading Tips for Pepper by Kedia Commodity

pepperPepper ended flat as thin supplies in spot and depleting stocks triggered buying. However with rates having fallen significantly over last few days, traders are not ruling out some moderate recovery from improved demand in the mandis at these levels. New crop arrivals from Vietnam and increased Indian arrivals had been there. With Indian production expected lower due to adverse weather, lower acreage and a fall in productivity, any rise in exports could support the prices from a medium to long term point of view. India's exports grew an annual 4.3 percent to $24.6 billion in February, while imports rose 20.7 percent to $39.8 billion, government data showed on Monday. The trade deficit widened to $15.2 billion during the month from $14.8 billion in January, while exports between April and February grew 21.4 percent to $267.4 billion. Oil imports jumped 39.45 percent from a year earlier to $12.66 billion in February. India's overseas sales had surged at the start of the last financial year, but weakening demand from key export markets such as the United States and Europe in recent months has widened the country's trade deficit. Spot pepper gained 633.3 rupees to 39127.75 rupees per 100 kg in Kochi market. The contract touched the intra day high of Rs 39875/quintal while low of Rs 38420/quintal. Now support for the pepper is seen at 38515 and below could see a test of 37740. Resistance is now likely to be seen at 39970, a move above could see prices testing 40650.

Trading Ideas:

Pepper trading range for the day is 37740-40650.

Pepper ended flat recovering its losses after thin supplies in spot and depleting stocks triggered buying

India's exports grew an annual 4.3 percent to $24.6 billion in February, while imports rose 20.7 percent to $39.8 billion

NCDEX accredited warehouses pepper stocks gained by 10 tonnes to 2020 tonnes.

Spot pepper gained 633.3 rupees to 39127.75 rupees per 100 kg in Kochi market.