Sell Kapas Apr @ 1595 SL 1605 TGT 1585-1575. NCDEX - Kedia Advisory
Cottoncandy
Cottoncandy prices declined by 1.08% to settle at Rs.53,910, weighed down by marginally higher production estimates and sluggish demand indicators. The Cotton Association of India (CAI) revised India’s cotton output for 2025 slightly upward to 291.35 lakh bales from 291.30 lakh bales, primarily due to improved yields in Odisha. On the consumption front, CAI reduced its estimate by 8 lakh bales to 307 lakh bales for the current season, while exports were also trimmed to 15 lakh bales from the earlier 16 lakh bales. India's cotton exports are expected to drop significantly this year—by 13.36 lakh bales compared to last season’s 28.36 lakh bales. On the import side, 27.5 lakh bales had already been imported by April, out of a projected 33 lakh bales for the year—well above last season’s 15.2 lakh bales—further contributing to supply pressure. As a result, ending stocks are projected to rise to 32.54 lakh bales by September 2025, up from 30.19 lakh bales in the previous year. Globally, the U.S. revised its 2024/25 cotton balance sheet with a 100,000-bale reduction in exports and a corresponding increase in ending stocks. Global production, consumption, and trade were also reduced, while ending stocks edged higher. Weaker demand from China and Indonesia was the key driver of lower global mill use and imports. Technically, Cottoncandy is under long liquidation, with open interest unchanged at 75 while prices declined by Rs.590. Support is seen at Rs.53,500, with the 54500 level acting as resistance; any movement beyond this could signal a new price direction.
SELL COTTONCANDY JUL @ 54200 SL 54500 TGT 53800-53500. MCX
COCUDAKL
SELL COCUDAKL JUN @ 3070 SL 3100 TGT 3025-2975. NCDEX
KAPAS
SELL KAPAS APR @ 1595 SL 1605 TGT 1585-1575. NCDEX
