ICE Canola Moves Higher, Breaking Out Of Sideways Range
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| By Phil Franz-Warkentin, Resource News International |
| April 28, 2010 |
| Winnipeg – ICE canola futures were steady to higher Wednesday morning, recovering from overnight losses as the market remained well supported, according to traders. A move past nearby technical resistance added to the strength in canola.
Calls for a firmer start in the CBOT soy complex were providing some underlying support for canola. However, canola was already stronger on Tuesday, when soybeans moved lower, and the need for a correction in canola may limit the upside, according to analysts. Talk of exporter pricing accounted for some of the buying interest in canola, although traders couldn’t confirm if any fresh business had taken place. Technical signals were also supportive for canola, as Tuesday’s advances helped the market break out of its long established sideways trading range. The Canadian dollar was slightly stronger Wednesday morning, limiting the upside in canola. Favourable planting conditions across western Canada, and expectations for a record large canola crop also helped temper the gains in the market, according to traders. About 4,200 canola contracts had traded as of 8:51 CDT. Western barley futures were untraded and unchanged in overnight activity. Prices in Canadian dollars per metric ton at 8:51 CDT: |
| Price | Change | ||
| Canola | |||
| May | 384.30 | up 1.20 | |
| Jul | 392.40 | up 1.90 | |
| Nov | 393.80 | up 0.90 | |
| Western Barley | |||
| Jul | 145.50 | unch | |
| Oct | 145.50 | unch | |
