MCX CARDAMOM DOWN 3% IN EARLY TRADES
Date: 12/04/2012
Cardamom tumbled for the third day due to strong arrivals in major trading station due to steady production in the last year. As per market sources , total arrivals of around 14,900 tonnes of cardamom have been reported at auction centers against 8,107 tonnes that were reported last year in the same year . This was mainly due to strong production in the last year. This has prompted strong stockiest selling at higher levels. However, traders are expecting that paucity of rainfall in the major cardamom growing areas such as Idukki and Kumali of Kerala might impact the cardamom plant growth severely in the current year. Traders are expecting that the total production of cardamom is likely to decline by 50-75% in the current year. This might incite the strong demand of stockiest and exporters at lower levels.
The MCX May cardamom ended the last day down by 4% or Rs 46.10 at Rs 1112.10 per 1 kg. Technically, the counter ended below the major EMA's and the 14-day RSI is hovering at lower side at 37.07 indicating the counter is near the oversold zone.
The MCX May Cardamom slumped 3% to the session low of Rs 1,081.80 a kg and the open interest added 3.45% to 6,053 tonnes, indicating short selling. Technically, the counter is likely to find support at Rs 1079.50, Rs 1067 while resistance is at Rs 1112.50, Rs 1130 per 1 kg.
The MCX May cardamom ended the last day down by 4% or Rs 46.10 at Rs 1112.10 per 1 kg. Technically, the counter ended below the major EMA's and the 14-day RSI is hovering at lower side at 37.07 indicating the counter is near the oversold zone.
The MCX May Cardamom slumped 3% to the session low of Rs 1,081.80 a kg and the open interest added 3.45% to 6,053 tonnes, indicating short selling. Technically, the counter is likely to find support at Rs 1079.50, Rs 1067 while resistance is at Rs 1112.50, Rs 1130 per 1 kg.
Powered by Commodity Insights
No comments:
Post a Comment