Commodity Trading Tips for Turmeric by Kedia Commodity

Turmeric yesterday settled down -3.13% at 4762 as reports of good rains in growing areas favorably affecting the sowing of the new crop weighed. Rains in AP and Karnataka kept trading activities on the lower side. As per market sources, timely rainfall in major turmeric producing states such as Maharashtra, Tamilnadu and Andhra Pradesh led to steady sowing progress of turmeric crop in the current season. The major areas of Erode have already completed 40% of their sowing, while Maharashtra has completed 45-50% of their sowing for the current years. The futures prices were also pressurized by comfortable stocks in local mandies. Traders estimated the total stocks of around 60-62 lakh bags in the major mandies. This will easily meet up the local demand of turmeric in the next 5-6 months. India's National Commodity and Derivatives Exchange has imposed a 10 percent special margin on short side of turmeric contracts from Aug. 6, it said in a statement. As per market sources, timely rainfall in major turmeric producing states such as Maharashtra, Tamilnadu and Andhra Pradesh reported steady sowing progress of turmeric crop in the current years. The major areas of Erode have already completed 40% of their sowing, while Maharashtra has completed 45-50% of their sowing for the current years. Moreover, better crop condition due to availability of sufficient water in these states might also result to better productivity in the current year. In Nizamabad, a major spot market in AP, the price ended at 5300 rupees dropped -10 rupees. Now Turmeric is getting support at 4651 and below same could see a test of 4541 level, And resistance is now likely to be seen at 4953, a move above could see prices testing 5145.