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Jeera on NCDEX settled down by -0.5% at 18940

Posted on Nov 08, 2017 by kc_admin

Jeera on NCDEX settled down by -0.5% at 18940 amid lower domestic and exports demand in the spot market. Besides, good supplies from major producing belts also weighed on jeera prices. As per sources, current year Jeera sowing area likely to go up in Gujarat and Rajasthan due to higher prices throughout the year.  Jeera sowing started in Gujarat (Saurashtra, Kutch) and Rajasthan major growing regions. However, sowing progress reported slow due to higher temperature. Higher temperature normally affect the germination. Expected sowing area likely to go up by 20- 25% in Gujarat current year. Higher prices and strong export demand are likely to prompt farmers to cultivate more cumin seed (jeera) this year, leading to an increase in its acreage. Cumin seed acreage increasing by about 8-10 per cent in Gujarat and the bordering districts of Rajasthan in 2017-18, following attractive prices that the seed spice fetched farmers last year. These two states together account for 80-85 per cent of the production of the spice. Estimates indicated jeera production for 2016-17 at around 4.85 lakh tonnes with the area under jeera at 7.60 lakh hectares. Sowing for the new crop is likely to begin from the first week of November and experts see more farmers taking up jeera cultivation in anticipation of higher prices. In Unjha, a key spot market in Gujarat, jeera edged down by -72.3 Rupees to end at 18896.45 Rupees per 100 kg.Technically market is under fresh selling as market has witnessed gain in open interest by 8.14% to settled at 11085 while prices down -95 rupees, now Jeera is getting support at 18860 and below same could see a test of 18775 level, And resistance is now likely to be seen at 19030, a move above could see prices testing 19115.

Trading Ideas:

#             Jeera trading range for the day is 18775-19115.

#             Jeera prices ended with losses amid lower domestic and exports demand in the spot market

#             Besides, good supplies from major producing belts also weighed on jeera prices.

#             NCDEX accredited warehouses jeera stocks dropped by 237 tonnes to 6448 tonnes.

#             In Unjha, a key spot market in Gujarat, jeera edged down by -72.3 Rupees to end at 18896.45 Rupees per 100 kg