Sell Cocudakl Aug @ 3220 SL 3260 TGT 3180-3150. NCDEX - Kedia Advisory
COTTONCANDY
Cottoncandy settled slightly weaker by 0.63% at 54,950 as the market reacted to a marginal upward revision in India’s production estimate. The Cotton Association of India (CAI) raised its forecast slightly to 291.35 lakh bales due to increased output in Odisha. However, domestic fundamentals continue to reflect a sluggish demand trend. The CAI’s April update reduced the season’s cotton consumption estimate by 8 lakh bales to 307 lakh bales and lowered the export estimate by 1 lakh bale to 15 lakh bales. This year’s export figure is sharply down from last year’s 28.36 lakh bales, highlighting weaker overseas demand. On the import side, India’s cotton imports remain robust at 33 lakh bales for the season, more than double last year’s levels. This, along with slower consumption, is pushing ending stocks higher, now projected at 32.54 lakh bales for September 2025, up from 30.19 lakh bales last season. Globally, the USDA’s latest WASDE report offered mixed cues. World cotton production for 2025–26 was revised lower by over 800,000 bales to 116.99 million bales, with China’s higher output being offset by declines in India, the US, and Pakistan. Consumption was also reduced slightly, pulling global ending stocks for 2025–26 down by nearly 1.6 million bales to 76.80 million bales. In the US, adverse weather in the Delta region is cutting harvested area and yields, pushing production down to 14 million bales, marking one of the smallest crops in a decade. Technically, Cottoncandy remains under long liquidation as open interest held steady at 64 while prices eased by 350. Support is at 54,900; below this, 54,850 could be tested. Resistance is now at 55,000, with a breakout potentially pushing prices to 55,050.
SELL COTTONCANDY JUL @ 55200 SL 55500 TGT 54900-54700. MCX
COCUDAKL
SELL COCUDAKL AUG @ 3220 SL 3260 TGT 3180-3150. NCDEX
KAPAS
SELL KAPAS APR @ 1620 SL 1630 TGT 1610-1600. NCDEX
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