Sell Cocudakl AUG @ 3130 SL 3160 TGT 3100-3070. NCDEX - Kedia Advisory
Cottoncandy
Cottoncandy settled slightly higher by 0.47% at 55,700 as short covering emerged after prices had dropped earlier due to a significant increase in India’s closing stock estimates for the 2024–25 season. According to the Cotton Association of India (CAI), closing stocks are projected at 55.59 lakh bales, up 84% from last year’s 30.19 lakh bales, driven by a higher crop size. The CAI has revised pressing estimates for the season upward to 311.40 lakh bales from 301.14 lakh bales, lifting total supply till end-June to 356.76 lakh bales, including 30 lakh bales of imports. Consumption till end-June stood at 233.5 lakh bales, while exports remained muted at 15.25 lakh bales, leading to substantial stocks of 108.01 lakh bales, with large volumes still held by traders, CCI, and mills. Notably, domestic consumption for the full season is marginally higher at 308 lakh bales, but exports are projected to fall sharply by 40% to 17 lakh bales compared to last year’s 28.36 lakh bales. Imports are estimated to more than double to 39 lakh bales, with 30 lakh bales already landed by June-end. Globally, the U.S. balance sheet for 2025/26 indicates higher production and ending stocks, while the world balance sheet also points to increased output, especially from China and Mexico, with global ending stocks raised by 520,000 bales. In Rajkot, spot prices slipped marginally by 0.11% to 27,544.75. Technically, Cottoncandy is under short covering with unchanged open interest at 65 and prices up by 260. Immediate support is seen at 55,500, with a break below testing 55,300. Resistance is pegged at 55,900, and a move above may lift prices towards 56,100.
SELL COTTONCANDY JUL @ 55900 SL 56200 TGT 55600-55400. MCX
COCUDAKL
SELL COCUDAKL AUG @ 3130 SL 3160 TGT 3100-3070. NCDEX
KAPAS
SELL KAPAS APR @ 1620 SL 1630 TGT 1610-1600. NCDEX
