Wheat yesterday traded with the negative node and settled -0.2% down at 1462 tracking weak spot demand amid increased supplies in the mandies.

Sources are expecting a higher allocation of wheat from government warehouses during the October-November period, and this is weighing on prices.

Wheat prices are also falling on fears that softening overseas prices and the surge in the rupee against the dollar could cut demand for exports from India.

Heavy rains in September in northern India have raised the prospects of more sowing for the winter season and conditions are favourable for a bumper wheat crop for the third straight year. Indian farm minister Sharad Pawar urged farmers to take advantage of the late rains and plant their crops early.

Sowing of wheat begins in October and the crop is harvested during March-April. India's estimated total grain output for the year may fall by 3.3 percent to 249 million tonnes, but the production of rice, wheat, corn and other cereals would still be more than the demand, Pawar said.

In Delhi wheat prices dropped -13.4 rupee to end at 1465.35 rupees per 10 kg. In yesterday's trading session Wheat has touched the low of 1453 after opening at 1460, and finally settled at 1462. For today's session market is looking to take support at 1453.3, a break below could see a test of 1444.7 and where as resistance is now likely to be seen at 1470.3, a move above could see prices testing 1478.7.

Trading Ideas:

Wheat  trading range for the day is 1445-1479.

Wheat dropped tracking weak spot demand amid increased supplies in the mandies.

Sources are expecting a higher allocation of wheat from government warehouses during the October-November period

NCDEX accredited warehouses wheat stocks dropped by 119 tonnes to 98 tonnes.

In Delhi wheat prices dropped -13.4 rupee to end at 1465.35 rupees per 10 kg.