Technically Jeera market is under long liquidation as market has witnessed drop in open interest by 9.38% to settled at 5334 while prices down 265 rupees.
Now NCDEX Jeera is getting support at 14010 and below same could see a test of 13855 levels, and resistance is now likely to be seen at 14335, a move above could see prices testing 14505.
Jeera yesterday settled down by 1.84% at 14165 as adequate stock with traders and farmers may keep prices under pressure at higher levels.
However downside seen limited as the export of cumin is increasing continuously and in the coming days there are signs of increasing the export of cumin in a big way.
With the forecast of normal rains in the western region during September to November, the sowing of cumin seeds in Gujarat and Rajasthan may increase.
In 2021 (January-June), the country has exported more than 1.50 lakh tonnes of cumin as compared to 1.3 lakh tonnes in the same period last year.
Purchase of cumin seeds from African and Middle East countries will be diverted from other countries to India this year.
With Gujarat and Rajasthan being the only producers of cumin in the country, the most impact of Skymet’s forecast is visible on the cumin market. The export of cumin is increasing continuously and in the coming days there are signs of increasing the export of cumin in a big way.
However, the freight of container-vessels has increased and the shortage of containers is increasing continuously. In Unjha, a key spot market in Gujarat, jeera edged down by 255.75 Rupees to end at 14347.6 Rupees per 100 kg.
Trading Ideas:
–Jeera trading range for the day is 13855-14505.
–Jeera dropped as adequate stock with traders and farmers may keep prices under pressure at higher levels.
–However downside seen limited as the export of cumin is increasing continuously and in the coming days there are signs of increasing the export of cumin
–India’s cumin exports will increase due to less supply from Afghanistan-Syrian
–In Unjha, a key spot market in Gujarat, jeera edged down by 255.75 Rupees to end at 14347.6 Rupees per 100 kg.