The Season 2018 -2019 started with bullish sentiment in India. Indian cotton crop was predicted 343 lakh bales at the start of the season against 365 to 375 lakh bales of season 2017-2018. Opening stock was low and mills requirement of new cotton was high. With bull sentiment season touched double top at 47,150 on 15th October at the start of the season.
Gujarat cotton crop is estimated as 1,06,94,302 Bales out of which 2,75,000 Bales will be of V-797 rest will be Shankar-6. Gujarat cotton crop yield is expected to rise by 32.97% and crop is expected to increase by 30.83%
we estimate total Gujarat cotton pressing to be 120-125 Lakh Bales of 170 Kg.
Market Movement from 19th Jul 2021 to 24th Jul 2021
• A highly volatile week on NY future. This week started week with 300 points loss and recovered in next 3 days in December contract. NY December posted contract high of 90.57 intraday and closing high of 89.86 on Thursday. With volatility, open interest is rising so speculator again active. NY December closed with small weekly loss of 27 points.
Market Movement from 02nd Aug 2021 to 07th Aug 2021
• This week was consolidation week for NY future. December NY future steadily rose during the week. Slowly and steadily it crossed and closed above 91 cents. A signal of consolidation.
Market Movement from 07th Aug 2021 to 14th Aug 2021
• After last week's consolidation, NY December saw another bullish week gaining 262 points during the weekly and closing at 94.32 cents per pound a new lifetime high of the contract.
*Market Movement from 16th Aug 2021 to 21st Aug 2021*
• NY December extend rally post WASDE till Tuesday. On Tuesday NY December crossed 96.90 cents but gave back all gain sameday. Historically 96 cents proved great resistance. Profit booking by speculators pushed back the market and ultimately NY December closed with weekly loss of 122 points.
• Export sale was decent with 253000 bales for current year and 59500 bales for next year. While shipment also was decent at nearly 225000 bales.
The cotton market ended Tuesday with three out of four old-crop contracts months settling at limit up. In fact, synthetically, that is employing the options, and the market could open 1.25 cents higher Tuesday night. Speculators and Mills’ on-call fixation buying continues to undergird prices.
