By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Dec. 20 (CNS Canada) – ICE Futures Canada canola contracts were holding onto small gains in most months Wednesday morning, as the market continued to see a recovery off of nearby lows.
Tuesday’s correction higher was supportive from a chart standpoint, according to traders who expected to see more speculative positioning ahead of the Christmas holiday.
A firmer tone in Chicago Board of Trade soyoil also helped underpin canola.
However, the upside was tempered by the large supply situation and a lack of significant end-user buying interest. The general technical downtrend also remains intact, despite the latest correction.
About 4,000 canola contracts had traded as of 9:02 CST.
