NCDEX Wheat: Bearish until prices close above Rs 1530

Last Updated : 15 January 2013 at 12:40 IST

NCDEX Wheat: Bearish until prices close above Rs.1530

Source :Commodity Online Research Desk

Wheat has been sown in an area of 291.27 lakh ha for rabi crop against last year’s 292.90 lakh ha; according to the latest official data released by Govt. of India.

By Milan Shah
For the short term, the trend is looking bearish in NCDEX February wheat contract until the prices close above Rs.1530. Strong support is seen at Rs.1470 and resistance at Rs.1530.

Bumper wheat crop in India is expected to keep both wheat prices and futures in negative territory.

As of 2nd January 2013, India has a wheat stock of 34 mn tons against the requirement of 10 mn tons.

Fungal disease in key wheat growing areas of Punjab may limit the wheat surplus in the country.

Wheat has been sown in an area of 291.27 lakh ha for rabi crop against last year’s 292.90 lakh ha; according to the latest official data released by Govt. of India.

India is expected to raise its wheat exports on record 6 mn tons bumper crop to block short fall of wheat in the international market.

Adverse weather condition in key wheat growing areas of Australia and Russia may boost India‘s wheat exports in the near future, Reuters reported.

Wheat futures on India‘s National Commodity and Derivatives Exchange (NCDEX) were up by 2.95 percent at Rs. 1503 per 100 kg as of 10.54 PM IST on Tuesday. (Milan Shah is Research Analyst, Commodity Online).

Source

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>