Sell Cocudakl Jun @ 2950 SL 2980 TGT 2910-2880. NCDEX - Kedia Advisory
Cottoncandy
Cottoncandy prices declined by 0.59% to settle at Rs.54,190, pressured by weak demand and sluggish mill buying amidst liquidity constraints. Despite a reduced domestic crop estimate, abundant supply and limited immediate purchasing needs from mills have kept market sentiment under pressure. Mills are currently well-stocked, which has diminished spot demand, contributing to the downside in prices. The Cotton Association of India (CAI) further revised down its crop output estimates for the 2024–25 season to 291.30 lakh bales (170 kg each), a reduction of 4 lakh bales from previous estimates, largely due to lower production in Maharashtra. Total cotton supply till March-end, including 25 lakh bales of imports and 30.19 lakh bales of opening stock, is pegged at 306.83 lakh bales. Stocks at the end of March stood at 127.83 lakh bales, with 100.83 lakh bales held by trade and government agencies. CAI also revised India's import forecast for 2024–25 upwards to 33 lakh bales, more than double last season's 15.2 lakh bales, reflecting expectations of tighter domestic availability. On the global front, the USDA’s May report reflects reduced global production and consumption, with ending stocks slightly higher. Technically, the market is undergoing long liquidation with open interest down by 0.41% to 242. Cottoncandy finds support at Rs.53,800, below which it could test Rs.53,400. Resistance lies at Rs.54,620, and a breakout above could push prices toward Rs.55,040.
SELL COTTONCANDY MAY @ 54300 SL 54600 TGT 54000-53800. MCX
COCUDAKL
SELL COCUDAKL JUN @ 2950 SL 2980 TGT 2910-2880. NCDEX
KAPAS
SELL KAPAS APR @ 1590 SL 1600 TGT 1580-1570. NCDEX
