Fundamental Analysis Refined Soybean Oil futures closed slightly higher in tandem with overseas market. AS per Trade Ministry of Indonesia, Indonesia will raise its export tax on crude palm oil exports to 3% in January. However, it was zero from last five months. China’s soy oil imports in the month of November fell 44% on year to 2.27 lakh tonnes, while palm oil imports, up 27% to 5.18 lakh tonnes. The benchmark January contract on National Board of Trade (NBOT) Exchange, soybean oil ended lower at Rs 571.80/10 Kg on Wednesday, down Rs 0.50/10 Kg as compared to previous day. CBOT January Soybean oil futures ended higher at 38.08 cents/pound on Wednesday, down 0.03 cents/pound as compared to previous close. Technical Analysis Ref Soy Oil Prices (NCDEX January Contract) closed higher at 482.50 per 10 Kg on Saturday; its high of the day was 484.70 levels and touched a low 480.80 level. Prices closed above its 10 day and below its 20 day EMA. 14-Day RSI is at 47.50, which is in neutral zone. Outlook Refined soy oil futures are expected to open slightly higher on firm overseas market and Indonesia will raise 3% export tax on crude oil(for short term). However, in the long term perspectives prices are expected to move southwards on account of huge stock of imported edible oil this year as compared to last year and decision of continue to import of crude edible oil at 0% also in favor of bears in the market.

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