By Phil Franz-Warkentin, Commodity News Service Canada
November 20, 2013
Winnipeg – ICE Canada canola contracts were posting small gains Wednesday morning, finding some spillover support from the advances in the outside vegetable oil markets.
CBOT soyoil and Malaysian palm oil were both up in overnight activity, while European rapeseed futures were holding steady.
Canola has traded just above major support in recent sessions, but the fact that those chart points have held out so far was seen as a sign that the market may be due for a corrective bounce.
Read Also
North American grain/oilseed review: Canola continues higher
Glacier FarmMedia — ICE canola futures were stronger on Wednesday, seeing a continuation of Tuesday’s rally. While optimism over possible…
Steady end user demand and the continued lack of significant farmer selling also remained supportive, according to participants.
However, Canada’s large crop, good conditions for soybeans in South America and the firmer Canadian dollar all helped limit the upside. Traders also cautioned that any speculative selling could easily build on itself if prices break below support.
About 1,400 canola contracts had traded as of 8:45 CST.
Milling wheat, durum, and barley futures were all untraded, although wheat did see some price adjustments following Tuesday’s close.
Prices in Canadian dollars per metric ton at 8:45 CST:
