Tuesday, March 22, 2011

Turmeric plunges on higher arrivals

Turmeric yesterday we have seen that market has moved -1.74% on higher arrivals in the physical market as Nizamabad mandi reported near 12000 bags.
Further the anticipation of higher production this year due to increased acreage of cultivation owing to good monsoon also influenced prices as production in 2011 is expected around 65-70 lakh bags compared with 45 lakh bags in the last year.
However, export demand is expected to improve in near future thereby limiting losses. In Nizamabad, a major spot market in AP, the price ended at 11118.15 rupees dropped by -172.85 rupees.
Market has opened at 9834 & made a low of 9730 versus the day high of 10022. The total volume for the day was at 3405 lots and the open interest was at 7760.
Support for turmeric is at 9635 below that could see a test of 9537. Resistance is now seen at 9927 above that could see a resistance of 10121.
Trading Ideas:
Turmeric trading range is 9555-10139.
Turmeric ended lower on higher arrivals in the physical market
Turmeric is having resistance at 9860 and support at 9600 level.
Turmeric exports dropped by 13% to 38,000 tonnes during April-January 2010-11
In Nizamabad, a major spot market in AP, the price ended at 11118.15 rupees dropped by -172.85 rupees.