Chana Could See A Test Of 3657: April 29, 2012

Chana  trading range for the day is 3657-3741, according to Kedia Commodities. Support for chana is at 3682 below that could see a test of 3657. Resistance is now seen at 3724 above that could see a resistance of 3741.

Chana gained Rs 26 and settled at Rs 3708 per quintal on fresh buying by the traders though arrival pressure from the producing regions limited the uptrend.

An expected fall in production in chana and overall pulses was reported as per 3rd Advanced Estimates. Pulses output is expected to fall to 17.02 mln tonnes vs, 18.24 mln tonnes in 2010-11. In Delhi spot market, chana jump up by 32.65 rupee to end at 3593.35 rupee per 100 kgs.

Pepper Could Test 39270 Levels

Pepper trading range for the day is 37810-39270. Support for the pepper is seen at 38080 and below could see a test of 37810. Resistance is now likely to be seen at 38810, a move above could see prices testing 39270 says Kedia Commodities.

Spot pepper gained 133.55 rupees to 38386.65 rupees per 100 kg in Kochi market. The contract touched the intraday high of Rs 39000/quintal while low of Rs 38270/quintal. 

Pepper May delivery dropped Rs 60 and settled at Rs 38350/quintal on some selling pressure after prices gained due to slack domestic supplies and firm international prices supported the prices. Pepper prices in the spot markets continued to remain steady to slightly higher owing to lower arrivals coupled with improved demand from the domestic stockists according to a report by Angel Commodities. 

Angel further says pepper prices in the intraday may trade sideways to up on account of  improved buying by the local stockists. However, sharp upside in the  prices may be capped owing to expectation of fresh arrivals of pepper  from Malaysia in the medium term (May).   

Arrivals of pepper in domestic market stood at 19 tonnes while offtakes were 22 tonnes on Thursday. Global pepper production in 2012 is expected to increase 7.2% to 3.20  lakh tonnes as compared to 2.98 lakh tonnes in 2011 with sharp rise of  24% in Indonesian pepper output and in Vietnam by 10%. Pepper production in Vietnam and Indonesia is projected at 1.10 lakh tonnes while that in Indonesia is projected to be 41 thousand tonnes. 

Jeera Could Recover On Lower-Level Buying

Jeera trading range for the day is 12116-12586. Jeera may trade sideways to up due to improved demand from the local stockists. Sharp gains may however, be capped owing to peak arrivals in the domestic markets says Karvy Commtrade.

It further says jeera could recover on lower level buying on back of declining arrivals at spot front. Export demand is also good for Indian jeera which is likely to support prices according to Kedia Commodities

The jeera May contract dropped Rs -42.5 and settled at Rs 12312.5 per quintal as supplies were higher than expected due to an increase in output, though export demand is seen supporting prices in the short term. Export demand is improving at these prices especially from Bangladesh. Local demand is also expected to remain firm in short-term due to wedding season.

The total arrivals of jeera stood steady at 15,000 bags, while demand was seen for around 14,000 bags. The total production in Gujarat is likely at 12-13 lakh bags while in Rajasthan it is estimated at 10 lakh bags.