Ref Soyaoil yesterday traded with the negative node and settled -1.35% down at 709 taking cues from weak overseas futures markets and lack of demand in physical market amid sentiment was bearish as markets may feel the supply pressure in the coming days. New crop has higher moisture content hence it gets lower prices than old crop. International market sentiments however remains still weak. In spot market demand is expected to improve in the coming day as festive season has started which will continue till year end. Edible oil prices in the world market may come under pressure due to high palm oil stocks in Malaysia and Indonesia and the start of soybean crushing in the United States. India's vegetable oil imports in August were 897,018 tonnes, up from 870,328 tonnes in the previous month. The harvesting season of soybean has started in US which is putting pressure on the edible oil complex prices in international market. Projection for 2012-13 for World soy oil beginning and ending stocks are increased in the September report as compared to August report. At the Indore spot market soyoil edged down -5.9 rupees to 776.35 rupees 10 kg. In yesterday's trading session Ref Soyaoil has touched the low of 708.2 after opening at 717, and finally settled at 709. For today's session market is looking to take support at 703.4, a break below could see a test of 697.7 and where as resistance is now likely to be seen at 719.5, a move above could see prices testing 729.9.

Trading Ideas:

Ref soyaoil trading range for the day is 697.73-729.93.

Ref soyaoil ended lower taking cues from weak overseas futures markets and lack of demand in physical market

New crop has higher moisture content hence it gets lower prices than old crop.

India's vegetable oil imports in August were 897,018 tonnes, up from 870,328 tonnes in the previous month.

At the Indore spot market soyoil edged down by -5.9 rupee to 776.35 rupees 10 kgs.