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Wednesday, February 14, 2007
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Jan 29 2007 10:02AM
29th Jan 2007 Pulses Report
CHANA
FUNDAMENTALS
Chana prices remained firm at most of the trading centers today. The increased demand from retailers and millers mainly pushed up the Chana prices. Though, the arrivals have not gathered momentum yet, it would increase by February as harvesting will speed up in Maharashtra and Karnataka. In MP too, traders are expecting some arrivals in first week of February itself. Thus the current firmness in the prices is not likely to last long. Gram this year has been sown in about 0.7 mln hectares more than in 2005-06.
TUG-OF-WAR: Bulls vs. Bears
No.
Pressure Point
Favours
1.
Production this year expected 55 lt by industry experts on higher acreage.
Bears
2.
Higher quotes by exporters
Bulls
3.
Harvesting gathering momentum
Bears
SPOT MARKET PRICES: (Rs/qtl)
Grade
Centre
27.01.07
25.01.07
Change
Rajasthan Desi
Delhi
2700
2625
+75
Kantewala
Indore
2550-2600
2600-2650
-
Gauran
Akola
2550
2450
+100
TECHNICALS
Chana charts are showing strength in the market. Candlestick pattern shows indecision at higher levels. The prices closed above 9-days and 18-days EMA, which suggests firmness is intact. MACD is showing increase in bullish momentum. Stochastics are in overbought region, which warrants some caution on the part of bulls.
WEATHER
Weather for Chana is likely to be clear in Western and Central region, which is congenial for the maturing and pod forming of Chana there.
TRADE RECOMMENDATION
Contract
Call
Entry
T1
T2
SL
S2
S1
PCP
R1
R2
NCDEX-Feb
Sell
<2450
2370
2345
2485
2310
2340
2418
2479
2505
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