With no change in the duty structure in the Union Budget on edible oils, market will now start following fresh demand and supply fundamentals in Indian market.
International crude oil prices have also shown some improvement in short term.
In India, the central and northern parts which are the major oilseeds producing states, have received widespread rains which may delay the Rabi oilseeds crop arrivals a little bit delay particularly the Mustard seed crop.
With the start of summer season, demand is likely to pick up gradually.
Please note that for the past 7-8 days soy oil market moves in range of 10-12 rupees with no clear direction.
Right now Soy oil April Contract at NCDEX trades at 593.75.
As discussed earlier, there are signs of some improvement in the physical market demand. But there is still some skepticism over long term outlook in the light of amply world edible oil supplies.
This is the very reason why speculators are a little bit quite and waiting for some clear trend to emerge to make their fresh bet.
The chart pattern suggest that in the next couple of days some clarity must come in the market about the medium term.
The downside seems limited from current levels.
On Daily Chart of Soy oil April Contract at NCDEX following technical levels seems valid for next couple of days.
Support = 585 Resistance 1 = 596 Resistance 2 =604.
A closing above 597 will lead the market towards 604.
International crude oil prices have also shown some improvement in short term.
In India, the central and northern parts which are the major oilseeds producing states, have received widespread rains which may delay the Rabi oilseeds crop arrivals a little bit delay particularly the Mustard seed crop.
With the start of summer season, demand is likely to pick up gradually.
Please note that for the past 7-8 days soy oil market moves in range of 10-12 rupees with no clear direction.
Right now Soy oil April Contract at NCDEX trades at 593.75.
As discussed earlier, there are signs of some improvement in the physical market demand. But there is still some skepticism over long term outlook in the light of amply world edible oil supplies.
This is the very reason why speculators are a little bit quite and waiting for some clear trend to emerge to make their fresh bet.
The chart pattern suggest that in the next couple of days some clarity must come in the market about the medium term.
The downside seems limited from current levels.
On Daily Chart of Soy oil April Contract at NCDEX following technical levels seems valid for next couple of days.
Support = 585 Resistance 1 = 596 Resistance 2 =604.
A closing above 597 will lead the market towards 604.
No comments:
Post a Comment