Canola continued to fall on Monday, following through from the weakness posted Friday when contracts fell below technical support.
Weaker crude oil prices also weighed on canola, as did the weaker Chicago soy oil contract.
Offsetting the weakness was the stronger soybean market, which was helped by news that Brazil and Argentina are having trouble shipping their large harvests.
The May canola contract fell $3.50 to $374 per tonne on 6,349 trades. The previous day’s best basis was steady at $7.75 per tonne off the May contract in the par region, according to the Winnipeg ICE Futures daily report.
The 14-day Relative Strength Index for May canola fell to 24, according to BarChart.com. The rule of thumb is an RSI of 30 indicates an over sold market and 70 indicates over bought.
July fell $3.80 to $379.30 on 1,661 trades.
New crop November fell $3.80 to $383.40 per tonne on 1,538 trades.
The Canadian dollar at noon was 97.88 cents US, down from 98.16 cents at noon the previous trading day. The U.S. dollar at noon was $1.0217.
The lightly traded Winnipeg May barley contract was steady at $154 on no trades and only 11 open interest contracts. December was steady at $150.
May soybeans rose 4.5 cents to $9.30 US per bushel. November soybeans were steady at $9.14 per bu.
May oats were $2.16 US per bu.
Light crude oil for April delivery fell $1.44 to $79.80 US per barrel as the U.S. dollar rose and worries that credit tightening in China might curb energy demand in the Asian giant.
