ICE canola futures fall on technical correction, vegoil weakness

All figures in Canadian dollars unless noted

WINNIPEG, Manitoba, Feb 24 (Reuters) - ICE canola futures took a beating Monday, falling sharply on technical factors and weakness across the vegoils complex.

May canola RSK5 down $20.40 at $659.30 per metric ton, or a fall of 3%. Other contract months fell a similar amount.

Every time canola futures prices have hit the $680 level since July, 2024, they have soon reversed.

"Once you're up at this lofty level ... it falls quite dramatically," said Tony Tryhuk of RBC Dominion Securities. "Today was a day of reckoning."

Canola fell more than competing vegoils on Monday, following a week in which it saw relative strength. Commodity funds have a large net long position in canola, heightening the risk of a significant selloff.

Chicago Board of Trade crop futures fell on improving South American growing conditions. Soyoil futures BOv1 fell 2.2% in spillover pressure from Asian palm, which weakened on predictions of lower Indian imports due to the relatively high price of palm compared to sunflower oil and soyoil.

Euronext rapeseed futures COMc1 fell 1.27% and Malaysian palm oil futures FCPOc3 were down 2.25%. POI/

The Canadian dollar CAD= remained rangebound. CAD/