Jeera likely to move in a range of 15315-15645

Technically NCDEX Jeera is getting support at 15390 and below same could see a test of 15315 level, And resistance is now likely to be seen at 15555, a move above could see prices testing 15645.

Jeera on NCDEX settled down by 0.83% at 15470 tracking weakness in spot demand as new season jeera expected to hit the market soon.Though state government has projected a decline in jeera crop in Gujarat due to lower acreage, traders are optimistic of higher output because of adequate availability of water.

Besides, lower export demand in the physical market also triggered the downtrend. According to 1st Adv est. by Agriculture Ministry, cumin output may be higher by 10% on year to 7.56 lakh tonnes. Commencement of fresh crop arrivals in key spot market of Unjha in Gujarat is putting downward pressure on prices.

In the 2nd advance estimate, cumin production in Gujarat is forecasted down by 25% on year at 2.23 lakh tonnes for 2018/19 crop. Area under cumin in the state is pegged at 3.48 lakh ha as on 4-Feb, down 9.1% on year but higher by 8.75% than normal area as per govt data.

Exports of jeera is down 25.4% on year in November at 7,859 tonnes compared to 10,537 tn last year but jeera exports in 2018/19 (Apr-Dec) is 1.28 lt, up 26.7% compared to exports last year, acc. to Commerce Ministry.

The country’s jeera output is expected to be more or less the same as last year, though initially it was expected to be 20-25% lower from the previous year.In Unjha, a key spot market in Gujarat, jeera edged down by 142.85 Rupees to end at 16585.7 Rupees per 100 kg.

Trading Ideas:
–Jeera trading range for the day is 15315-15645.
–Jeera prices dropped tracking weakness in spot demand as new season jeera expected to hit the market soon.
–According to estimates, cumin output may be higher by 10% on year to 7.56 lakh tonnes.
–Though state government has projected a decline in jeera crop in Gujarat due to lower acreage
–In Unjha, a key spot market in Gujarat, jeera edged down by 142.85 Rupees to end at 16585.7 Rupees per 100 kg.

Please follow and like us:

Leave a Reply

Your email address will not be published. Required fields are marked *