Buy Cocudakl Mar @ 2680 SL 2650 TGT 2720-2750. NCDEX - Kedia Advisory
Cottoncandy
BUY COTTONCANDY MAR @ 53700 SL 53400 TGT 54100-54400. MCX
Cottoncandy rose by 0.5% to Rs.54,010, supported by adjusted production forecasts and firm demand. Brazil’s 2024-25 cotton production estimate was revised down to 3.79 million tonnes due to reduced acreage in Mato Grosso. Meanwhile, the Cotton Association of India (CAI) increased its crop projection by 2 lakh bales to 304.25 lakh bales, driven by higher output in Telangana, which saw an upward revision of 6 lakh bales. However, cotton arrivals in North India (Punjab, Haryana, and Rajasthan) dropped by 43% compared to last year, causing supply concerns. Some farmers are holding back produce, expecting higher prices, while ginners and spinners are facing raw material shortages, especially in Punjab. The WASDE report projected increased global production and ending stocks for 2024-25, contributing to bearish pressure. Global cotton output is expected to rise by 1.2 million bales to 117.4 million bales, primarily due to higher production in India and Argentina. Despite this, cotton yarn prices in South India have risen, supported by strong demand from the garment sector and export orders. Total cotton supplies in India by December-end stood at 176.04 lakh bales, with consumption reaching 84 lakh bales and exports at 7 lakh bales. December-end stocks were estimated at 85.04 lakh bales, while CAI raised its consumption forecast to 315 lakh bales for the 2024-25 season. Technically, the market is under short covering as open interest declined by 1.54% to 256 contracts. Cottoncandy has support at Rs.53,580, with a break below possibly testing Rs.53,150. Resistance is at Rs.54,570, and a move above this could push prices toward Rs.55,130.
Cocudakl
BUY COCUDAKL MAR @ 2680 SL 2650 TGT 2720-2750. NCDEX
Kapas
BUY KAPAS APR @ 1470 SL 1460 TGT 1480-1490. NCDEX
Cotwasoil
SELL COTWASOIL MAR @ 1260 SL 1270 TGT 1250-1240. NCDEX
