The castorseed futures contract traded on the National Commodity and Derivatives Exchange has surged about 4 per cent in the past week. This rally has turned the short-term outlook bullish for the contract.
Increase in demand in the domestic spot market at the time when the arrivals were restricted has aided this rise in the commodity price.
Rising export demand is also supporting the price. The contract is likely to move higher from current levels of ₹4,084 a quintal. This offers a good opportunity for traders with short-term view to initiate long position in the contract.