BUY KAPAS APR @ 1470 SL 1460 TGT 1480-1490. NCDEX - Kedia Advisory
Cottoncandy
BUY COTTONCANDY MAR @ 53600 SL 53300 TGT 53900-54100. MCX
Cottoncandy prices declined by 0.33% to settle at 53,830 as market sentiment turned bearish following an upward revision in India's cotton crop projections by the Cotton Association of India (CAI). The association raised its forecast by 2 lakh bales to 304.25 lakh bales for the 2024-25 season, driven by higher output in Telangana. However, consumption estimates were also increased by 2 lakh bales to 315 lakh bales, reflecting robust demand. Meanwhile, cotton arrivals in north India declined sharply by 43% year-on-year till November 30, leading to supply constraints and concerns among market participants. Brazil's cotton production forecast for 2024-25 was revised lower to 3.79 million tonnes from 3.83 million tonnes due to reduced acreage in Mato Grosso. The WASDE report projected higher global cotton production and ending stocks, adding pressure to prices. Global production is expected to increase by 1.2 million bales to 117.4 million bales, mainly due to higher output in India and Argentina. Despite supply concerns in some regions, rising demand from garment industries and strong export orders supported yarn prices in South India, limiting the downside in cotton prices. Technically, the market is under long liquidation, with open interest dropping by 1.17% to 253 while prices declined by 180 rupees. Cottoncandy finds support at 53,800, and a break below could push prices to 53,780. On the upside, resistance is seen at 53,840, with a move above potentially testing 53,860 levels.
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 @ 1255 SL 1265 TGT 1245-1235. NCDEX
