Canada Markets Blog
Cliff Jamieson Canadian Grains Analyst
Thu Feb 20, 2014 05:31 PM CST

Market volatility is listed as the last of the six factors that DTN utilizes in the Six-Factor Approach to market analysis and one that receives little attention in this column. The attached chart indicates a recent spike in implied volatility (red line) when compared to the five-year average (blue line), signaling a growing nervousness in the canola market as of last week's close.

Implied volatility is an indication of the market's views surrounding the speed and magnitude of a potential price move, although does not indicate the direction of the move. Higher levels of implied volatility suggest an increased expectation ...

Quick View
Related News Stories
Canada's Grain Transport Conundrum
Railcar Shortage Complicated
Shaw: Under the Agridome