Technically Jeera market is under long liquidation as market has witnessed drop in open interest by 0.2% to settled at while prices down 180 rupees.
Now NCDEX Jeera is getting support at 14220 and below same could see a test of 14120 levels, and resistance is now likely to be seen at 14425, a move above could see prices testing 14530.
Jeera yesterday settled down by 1.24% at 14320 as the sowing of cumin seeds in Gujarat and Rajasthan may increase due to normal rains in the western region.
In 2021 (January-July), the country has exported more than 1.75 lakh tonnes of cumin as compared to 1.67 lakh tonnes in the same period last year.
Pressure also seen as adequate stock with traders and farmers may keeping 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.
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.
Recent estimates state that cumin production has slumped by 60% in Iran’s Razavi Khorasan Province due to severe drought and unusually cold weather coupled with an early spring. Rainfall ranges 63% lower than last year this season so far.
Extensive crop losses seen, the early onset of spring in February also caused serious damage to production. In Unjha, a key spot market in Gujarat, jeera edged up by 52.6 Rupees to end at 14328.55 Rupees per 100 kg.
Trading Ideas:
–Jeera trading range for the day is 14280-14800.
–Jeera dropped as adequate stock with traders and farmers may keeping 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 16.25 Rupees to end at 14240 Rupees per 100 kg.