Buy CPO Jan at Rs 443; target 450, SL 438: Emkay

Emkay Commodity Research has come out with its report on agro commodities. According to the research firm, CPO is likely to trade higher today taking its cues from higher opening at BMD market.

• BMD CPO futures settled at 2439 MYR/Ton down by18MYR/Ton due to profit sales amid concerns over exports to China after stricter quality norms.
• As per oil world, Palm oil price discount to soyoil has fallen sharply as palm oil has gained sharply in last ten days despite higher stock while soyoil remain almost stable despite of lower stock.
• CPO is likely to trade higher today taking its cues from higher opening at BMD market.

• MCX CPO Jan is expected to trade sideways to higher towards 450 followed by 453 levels as price has settled well above key 445 levels on Thursday.
• Alternatively any break and close below 438 can change our bias.

• RM seed prices witnessed mixed movement. January contract ended a tad down while far month contracts ended higher. As per data as on 27th Dec, sowing is completed for 65 Lash Ha compared to 63.8 lakh Ha of last year.
• Weak arrival and sluggish demand are responsible for the downside movement of Mustard while slow arrival of new crops is limiting the downside.
• RM Seed is likely to trade rangebound with weak bias amid hopes of higher crop output compared to last year.

• April RM Seed has been holding well above 3510 levels for the past couple of trading sessions.
• For the day trend remains mixed and is expected to trade sideways between 3510 – 3580 levels.