Headline News

Howard Leaman                                                     Feb 21/20

     Canola traded on both sides of unchanged on Friday, ending mixed with
the nearby contracts weaker than the deferred positions. The market was
held to a relatively narrow range on either side of Thursday's closing
levels in response to mixed signals. Canola gained strength from spillover
buying from palm and soy oils, but the gains were limited by strength in
the Canadian dollar and weakness in European rapeseed, soybeans and soy
meal. The Canadian dollar gained about three tenths of a cent against the
U.S. dollar on Friday. Traders saw the strength in the Canadian dollar as
mainly a function of weakness in the U.S. currency. The weakness in the
U.S. dollar, in turn, was attributed to profit taking after its recent
rally. Concern about rail disruptions in Canada, and expectations of large
South American soy supply coming onto the market continues to provide
underlying weakness for canola. 

                                   Resistance     Support
              May Canola           473.40         457.70
              July Canola          479.40         472.30