Red Chilli Teja (Guntur) — Retesting Major Resistance Zone (Rs. 220 – Rs. 230)

Red chilly prices are set to retest Rs 220 - Rs 230 levels as visible from the chart pattern below. After dropping near Rs 200 level the commodity is seeing renewed buying activity. The momentum was provided by negative news flow in recent past. Rains in growing regions have damaged crops while in some cases. Also, the crop availability is likely to fall due to lower area under cultivation.