Pepper falls on profit booking

Pepper May delivery dropped Rs 291 and settled at Rs 28860/quintal due to profit-taking though a squeeze in daily supplies and local demand restricted the fall.
Profit-taking is seen in pepper but it is not likely to continue for long because overall sentiment is bullish due to limited supply. Supplies have also been poor in the spot market because of almost stagnant production in the last two-three years. Vietnam had exported 25128 tonnes in first quarter but it is less by 11 percent compared with last year figures.
And the cultivation in Vietnam is less by 50000 hectares compared with last year figures. Spot pepper gained 80.5 rupees to 28126.65 rupees per 100 kg in Kochi market. The contract touched the intra day high of Rs 29240/quintal while low of Rs 28560/quintal.
Now support for the pepper is seen at 28533 and below could see a test of 28207. Resistance is now likely to be seen at 29213, a move above could see prices testing 29567.
Trading Ideas:
Pepper trading range is 28214-29574.
Pepper dropped due to profit-taking though a squeeze in daily supplies and local demand restricted fall
Pepper looks to test support at 28533 and resistance is seen at 29213.
NCDEX accredited warehouses pepper stocks rose by 10 tonnes to 3277 tonnes.
Spot pepper gained 80.5 rupees to 28126.65 rupees per 100 kg in Kochi market.
Courtesy: Kedia Commodities

(Source: http://www.commodityonline.com/futures-trading/tradingtips/Pepper-falls-on-profit-booking-12761.html)