NCDEX December Soybean prices fell sharply in the morning hours on Friday and made a low of 2321 levels due to selling pressure in major commodities (soy oil, palm oil and crude oil etc) and an hour before closing the market recovered and managed to close at Rs 2367 a quintals.
CBOT November soybean futures ended lower at $ 12.63/bushels on Friday, down 67.00 cents/bushel as compared to previous close.
CBOT December Soybean meal futures ended lower at $ 339.70/ton on Friday, down $18.40/tonne as compared to previous close.
Spread between NCDEX November and December contract is Rs 59.50 against previous day of Rs 60.50 per 100 Kg.
Technical Analysis
Prices closed above its 10 Day and its 20 Day EMA, which indicates bullish market sentiments.
14-Day RSI is at 66.60, which is in neutral region.
Outlook
For Intraday, soybean prices are expected to trade range bound on lack of fresh fundamentals. Bullish USDA’s monthly supply and demand report as USDA unexpectedly lowered its yield estimate for the 2010/11 US soybean crop and lowered ending stocks of US soybean due to strong export demand, lower yield and better export figures of domestic soy meal in the month of October are also in favour of the bulls. There is possibility of technical corrections after sharp rise in the last two weeks.
