Sign in Subscribe
Commodity futures

Winnipeg Commodity Exchange Futures Expected to Open Steadily on Monday

Strategic Insights

— 2 min read

Grain and oilseed futures at the Winnipeg Commodity Exchange (WCE) are anticipated to open Monday's session on a stable to firmer note, driven by higher calls for CBOT grain and soybean futures and strength in Malaysian palm oil futures. Canola futures are expected to start trading C$1.00 to $2.00 per metric ton higher due to the firmer calls for CBOT soybean and soyoil values. The absence of confirmed export demand and ideas of domestic crushers backing away from the market may temper the upside price potential.

Key Takeaways:

  • Grain and oilseed futures at the WCE are expected to open Monday's session on a stable to firmer note.
  • CBOT grain and soybean futures are seen providing upward price action, leading to a C$1.00 to $2.00 per metric ton increase in canola futures.
  • Strength in Malaysian palm oil futures is expected to prop up prices on the open.
  • Additional support in canola is seen due to light exporter pricing and the absence of producer offerings to the country elevator system.
  • Resistance in the July canola future is pegged at C$290, with the next resistance area at $300.
  • If the coil formation in canola breaks, a move to the $320 level could be possible.
  • Minor support in the July future is pegged at $280, with the next level of strong support at $265.
  • Feed wheat and western barley futures are being called steady to up C$1.00 on the open.
  • The firmer calls for CBOT corn and wheat futures are seen as the main supportive price influences.
  • Slow farmer selling is likely to generate some minor support, but will be offset by the absence of fresh demand from the end-user.

Statistics:

  • Grain and oilseed futures at WCE are expected to start Monday's session on a stable to firmer note.
  • CBOT grain and soybean futures are seen providing upward price action, leading to a C$1.00 to $2.00 per metric ton increase in canola futures.
  • Strength in Malaysian palm oil futures is expected to prop up prices on the open by C$1.00 to $2.00 per metric ton.
  • Resistance in the July canola future is pegged at C$290, with the next resistance area at $300.
  • Potential gains in canola futures if the coil breaks and the market moves above $300 could reach up to $320.
  • Support in the July canola future is pegged at $280, with the next level of strong support at $265.

Sources:

  • Resource News International
  • COMTEX (http://www.comtexnews.com)
  • Winnipeg Commodity Exchange (WCE)

Read more