NCDEX Pepper can test Rs 38500 in near term: Emkay

Emkay Commodity Research has come out with its report on Pepper and Jeera. According to the research firm, NCDEX Pepper Feb contract is looking firm for the short term. It is consistently holding above strong support at 36500 levels. Outlook is positive for the day, targeting 38500 in one or two sessions.

Pepper prices featured upward movement on increase in demand amid limited arrivals.  Also, supply concern related to the fear of release of 8,000 tonnes of Pepper locked up in the warehouses has supported the price rise. Pepper is likely to trade with firm bias due to improved demand and limited supply.  

Technical: NCDEX Pepper Feb contract is looking firm for the short term. It is consistently holding above strong support at 36500 levels. Outlook is positive for the day, targeting 38500 in one or two sessions.

Jeera future prices ended lower at NCDEX on increased arrival (3700 bags compared to 3200 bags of previous day). Also, sluggish demand from stockists weighed on the prices.  Stockists are waiting for better quality crops before starting the stock of Jeera. New crop arrivals started in the market.  Jeera is looking to trade in range with negative bias on sluggish demand in near term. 

Technical:  NCDEX Jeera March future has been holding above 13500 levels for the past couple of weeks. Outlook remains mixed for the day and Feb is likely to trade in range between 13500-14000 levels. Only a convincing close above 14100 can change our bias to bullish. 

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