Now NCDEX Chana is getting support at 5206 and below same could see a test of 5184 levels, and resistance is now likely to be seen at 5259, a move above could see prices testing 5290.
Chana yesterday settled down by 0.65% at 5229 on profit booking after estimates kharif Pulses production in 2020-21 has been pegged at 93.1 Lakh tonnes, 20.6% higher than 77.2 Lakh tonnes produced in 2019-20.
However Government’s announcement of providing free Pulses to the poor till November shall be preventing fall in prices in coming weeks, since it has resulted in higher procurement by the Government agencies.
Also the daily arrivals till date are quite lower than the daily arrivals during corresponding period of last year. This is indicative of the fact that farmers and stockists are still holding most of the produce anticipating further price appreciation in near term.
This also indicates that the actual production of Chana for year 2019-2020 may be lower as estimated earlier, than the year before.
Consumption continues under the PMGKAY scheme while demand for sowing will improve soon as the planting season approaches. Trade sources say that nearly 7-10 Lakh tonnes of Chana will be required additionally for planting of Chana.
Trading Ideas:
–Chana trading range for the day is 5184-5290.
–Chana dropped on profit booking after estimates kharif Pulses production in 2020-21 has been pegged at 93.1 Lakh tonnes, 20.6% higher
–Rally in chana prices has also been helped by the distribution of the pulse under the PMGKAY
–With supply issues persisting and government likely to take measures with an eye on encouraging more sowing
–In Delhi spot market, chana remains unchanged at by 0 Rupees to end at 5077.3 Rupees per 100 kgs.