NCDEX Turmeric may trade between 7064-7372 range

0
540

Turmeric on NCDEX settled up by 1% at 7262 on rising demand from the buyers at the spot market. However upside seen limited due to reports of good production in coming season. Currently the supplies are for medium and poor quality during the rest of the season till new crop arrived which may keep the prices sideways to higher. Officials of Horticulture department estimate that turmeric farmers in the Nizamabad may not get expected yields this year due to the heavy rains in the last week of September. After a severe drought and a subsequent good monsoon, farmers have cultivated turmeric in around 30,000 acres across the Nizamabad.

The crop grew on expected lines and the farmers were confident that this year they will surely get 45 to 50 quintals yields per acre. Turmeric cultivation has come down in Kerala, TN, AP and Maharashtra and they thought Nizamabad farmers may achieve record yields. However the situation changed due to the rains but the farmers are in better position compared to the last two years. The arrival of turmeric bags for sale has decreased sharply due to demonetisation.

Only 300 bags arrived for sale in two markets. No turmeric bags arrived in the Regulated Marketing Committee and Gobichettipalayam Agricultural Cooperative Marketing Society. On the export front, country exported about 51,147 tonnes of turmeric during April-August period up by 32% compared last year, as per government data. In Nizamabad, a major spot market in AP, the price ended at 7640 rupees gained 27.5 rupees. Technically now Turmeric is getting support at 7162 and below same could see a test of 7064 level, and resistance is now likely to be seen at 7316, a move above could see prices testing 7372.

Trading Ideas:
–Turmeric trading range for the day is 7064-7372.
–Turmeric prices gained on rising demand from the buyers at the spot market.
–Turmeric farmers in the Nizamabad may not get expected yields this year due to the heavy rains in the last week of September.
–NCDEX accredited warehouses turmeric stocks dropped by 10 tonnes to 2489 tonnes.
–In Nizamabad, a major spot market in AP, the price ended at 7640 rupees gained 27.5 rupees.

Courtesy: Kedia Commodities

LEAVE A REPLY

Please enter your comment!
Please enter your name here