Technically Jeera market is under fresh buying as market has witnessed gain in open interest by 0.27% to settled at 10035 while prices up 230 rupees.
Now NCDEX Jeera is getting support at 16080 and below same could see a test of 15890 levels, and resistance is now likely to be seen at 16440, a move above could see prices testing 16610.
Jeera yesterday settled up by 1.43% at 16265 as domestic festive demand is now picking up also the export inquiries to support price.
However upside seen limited as adequate stock with traders and farmers may keeping prices under pressure at higher levels.
Jeera production in Syria and Turkey was limited due to bad weather, which increases demand for Indian cumin. As of now Exports of Jeera for Apr-Aug was down by 12% Y/Y at 1.24 lakh tonnes but expected improve in coming months as Rupee weakness will support exports.
During last two months, the prices were higher compared to last year despite sufficient stocks with traders. Sowing can see drop as farmers preferred to have other crop against Jeera. Weather in key sowing area will be crucial in next few months.
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.
Purchase of cumin seeds from African and Middle East countries will be diverted from other countries to India this year. In Unjha, a key spot market in Gujarat, jeera edged up by 488.75 Rupees to end at 15920 Rupees per 100 kg.
Trading Ideas:
–Jeera trading range for the day is 15890-16610.
–Jeera gains as domestic emand is now picking up also the export inquiries to support price.
–However upside seen limited as adequate stock with traders and farmers may keeping prices under pressure at higher levels.
–India’s cumin exports will increase due to less supply from Afghanistan-Syrian
–In Unjha, a key spot market in Gujarat, jeera edged up by 488.75 Rupees to end at 15920 Rupees per 100 kg.