Glacier FarmMedia — Canola futures were trending higher to start the New Year, with the nearby technical signals showing more room to the upside. However, continued strength will require additional outside support.
The March contract settled at C$620.00 per tonne on Jan. 7, rising by nearly C$18 per tonne since closing 2025 at C$602.40 per tonne. Analyst Errol Anderson tied some of the strength to spillover from broad moves in global equities and commodity markets following the United States military action in Venezuela.
“Canola has a little bit of life,” said Anderson placing nearby resistance at C$630 per tonne.
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“If we can get some fresh news in the canola market, we could go up to C$660 in a blink — but we don’t have that yet,” said Anderson.
Canadian Prime Minister Mark Carney will visit China next week, Jan. 13-17, with trade expected to be a major topic of discussion. Any hint of China easing tariffs on Canadian canola during those meetings could provide the catalyst for a jump in the futures, said Anderson.
However, in the absence of any significant developments, he expected canola would stabilize around current levels.
