daily trading calls

Turmeric on NCDEX settled down by -3.57%

Posted on Nov 08, 2017 by kc_admin

Turmeric on NCDEX settled down by -3.57% at 6962 tracking weakness in spot demand on profit booking after prices gained on lower output and tight arrivals. As per preliminary estimates, turmeric output in the current season is expected to decline due to lower sowing area and on reports of diseases to plants following heavy rainfall in Sep-Oct in Nizamabad district. The arrivals of turmeric were low during first 25 days of October at 5,642 tons compared to 8,472 tons in the same period last year, showed data. Turmeric arrivals in Nizamabad market witnessed 500 bags, decline of 100 bags has been observed compared to previous day. Other markets such as Sangli in Maharashtra observed arrivals of 1,200 bags while Erode in Tamil Nadu brought in lower arrivals of 4,000 bags. In Tamil Nadu, turmeric growing regions still no rainfall reported only coastal regions received higher rainfall currently. Turmeric farmers were waiting for rainfall as standing crop requires 2-3 times rainfall till 15 Dec for better yield otherwise yield might get affected. As per farmer sowing intentions estimated, current year Turmeric area was reported lower in Tamil Nadu by around 40-45% due to lower rainfall in sowing period. Turmeric traders have received some fresh demand. After few days, turmeric traders have received some upcountry demand. Turmeric farmers brought 3,700 bags and the traders have purchased good number for sending to North India. In Nizamabad, a major spot market in AP, the price ended at 7365.65 Rupees gained 15.65 Rupees.Technically market is under fresh selling as market has witnessed gain in open interest by 15.32% to settled at 6400, now Turmeric is getting support at 6840 and below same could see a test of 6720 level, And resistance is now likely to be seen at 7176, a move above could see prices testing 7392.

Trading Ideas:

#             Turmeric trading range for the day is 6720-7392.

#             Turmeric prices ended with losses tracking weakness in spot demand on profit booking after prices gained on lower output and tight arrivals.

#             In Tamil Nadu, turmeric growing regions still no rainfall reported only coastal regions received higher rainfall currently.

#             NCDEX accredited warehouses turmeric stocks dropped by 661 tonnes to 1114 tonnes.

#             In Nizamabad, a major spot market in AP, the price ended at 7365.65 Rupees gained 15.65 Rupees