ICE Canola Down On Follow-Through Selling

An analyst said the break below chart resistance last week was a bearish technical signal for canola, setting the stage for further speculative selling on Monday.

Calls for a slightly lower start in the CBOT soy complex, harvest pressure from the large South American soybean crop, and expectations for increased North American oilseed acres also weighed on canola, according to traders.

Malaysian palm oil futures were also lower in overnight activity.

The Canadian dollar was holding relatively steady Monday morning, providing little direction for canola. However, an analyst said the currency was still strong overall, and was likely only pausing before continuing towards parity with its US counterpart.

Steady exporter and domestic crusher buying, on a scale-down basis, helped limit the declines in canola.

About 650 canola contracts had traded as of 8:49 CDT.

Western barley futures were untraded and unchanged in overnight activity.

Prices in Canadian dollars per metric ton at 8:49 CDT: