Sell Cottonvany JUL @ 55600 SL 55900 TGT 55200-55000. MCX - Kedia Advisory
Cottoncandy
Cottoncandy edged higher by 0.97% to settle at 55,440 yesterday, recovering from earlier losses on the back of short covering. This rebound came despite a fundamentally bearish backdrop, with India’s closing stocks for the 2024–25 season estimated at 55.59 lakh bales—an 84% surge over last year’s 30.19 lakh bales, according to the Cotton Association of India (CAI). The CAI’s updated estimates peg the season’s total cotton pressing at 311.40 lakh bales, up from an earlier 301.14 lakh bales, driven by higher crop size in key states. Domestic cotton supply till end-June stood at 356.76 lakh bales, with consumption at 233.5 lakh bales and exports at a subdued 15.25 lakh bales. Notably, exports this season are projected to decline by nearly 40% from the previous year to just 17 lakh bales, reflecting weaker global demand for Indian cotton amid ample supplies. On the global front, the July U.S. cotton balance sheet showed higher production and ending stocks for 2025/26, with the crop forecast raised to 14.60 million bales. Likewise, world production is up by 1.43 million bales, mainly due to larger crops in China and the U.S., while global consumption also edged higher. Technically, Cottoncandy are in a short covering phase, with open interest steady at 65 while prices climbed by 530. Support lies at 54,770, and a break below could see a test of 54,100. On the upside, resistance is expected at 55,900, with a further move possibly testing 56,360.
SELL COTTONCANDY JUL @ 55600 SL 55900 TGT 55200-55000. MCX
COCUDAKL
SELL COCUDAKL AUG @ 3180 SL 3220 TGT 3140-3100. NCDEX
KAPAS
SELL KAPAS APR @ 1620 SL 1630 TGT 1610-1600. NCDEX
