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Cotton candy

Cotton candy prices experienced a marginal decline of -0.11%, settling at 56,900, primarily driven by sluggish milling demand amid muted global yarn demand. Despite this, downward pressure was limited as India's cotton continued to attract strong demand from countries like Bangladesh and Vietnam. Additionally, there are expectations of a better crop in countries such as Australia, which could potentially impact supply dynamics. The International Cotton Advisory Committee (ICAC) has projected increases in cotton-producing areas, production, consumption, and trade for the next season, 2024-25. Furthermore, India's cotton stocks are anticipated to decline by nearly 31% in 2023/24, reaching their lowest level in over three decades due to lower production and rising consumption. This reduction in stockpiles is expected to limit exports from India, the world's second-largest producer, and support global cotton prices. However, it could also elevate domestic prices and weigh on the margins of local textile companies. Looking ahead, for marketing year 2024/25, India's cotton production is estimated to decrease slightly to 25.4 million 480 lb. bales due to farmers shifting acreage to higher return crops. Meanwhile, mill consumption is projected to increase by two percent, driven by improved demand for yarn and textiles in major international markets. Import duties on extra-long staple (ELS) cotton have been rescinded, leading to an estimated 20% increase in imports. From a technical standpoint, the cotton candy market witnessed fresh selling pressure, with a 0.55% increase in open interest to settle at 363 contracts. Support is currently seen at 56,680, with potential further downside to 56,460. Resistance is likely to be encountered at 57,060, with a potential move above leading to testing 57,220.

BUY COTTONCANDY JUL @ 56800 SL 56400 TGT 57300-57600. MCX

Cocudakl

BUY COCUDAKL JUN @ 2650 SL 2610 TGT 2700-2730. NCDEX???????

Kapas???????

BUY KAPAS APR @ 1565 SL 1550 TGT 1580-1590. NCDEX???????