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John Roach's DAILY GRAIN MARKETING PLAN

Overnight Trade

May Corn up 6 1/4

May Beans up 30 1/2

May Wheat up 16 1/2

Sell Signals

The positive USDA Report and worries about planting delays have moved the corn market into an extended Roach Ag Sell Signal. We have wrapped up sales of the bushels we wanted to get sold on this Sell Signal. We expect at lease one more Sell Signal in corn and will wait until the next market peak to make any additional sales.

We will continue to buy puts for customers who want to cover up to ¾ of the new crop corn they plan on storing unsold.

We have no Sell Signal in beans or wheat but both markets have bottoms posted on their charts and beans have begun their upward price surge.

Markets

Asia-Pacific stocks today closed mixed: Japan -1.27%, Hong Kong +0.84%, China +1.81%, Taiwan +1.86%, Australia -1.34%, Singapore -0.81%, South Korea +0.60%, Bombay -0.60%. The European stock markets are trading lower with the European DJ Stoxx 50 down -1.48%.

The USDA Reports did not give traders much new to trade, but confirmed the bullish case for corn that has been developing since harvest. The new market stimulus is the weather forecast which is worrying traders about your ability to get the crop planted in a timely fashion. A change to warmer dryer weather will put a top in this corn market price surge.

Yesterday the bean market cleared its green line 20-day moving average and accelerated to higher prices very quickly as expected. I hope this helps you understand the importance of the green line on each of our charts. The price action as we approach the green line from either direction is very important. Yesterday we saw how crossing the line can really activate trade. On the fundamental side, the Chinese still have lots of beans to buy.

The Minneapolis May wheat did not blast up through its green line 20-day moving average, but closed right at it. Spring wheat is the only wheat even close to resistance and could clear it today. Wheat prices should move higher on dry weather concerns in the west, cold in the north, and too wet in the east. In addition wheat export business has picked up again.

Iraq issued a new tender to buy 50,000 tons of optional-origin wheat overnight. The country’s tender volumes are only nominal, however, as they regularly buy much more than the original amount. Iraq’s last major purchase was on March 19, when they bought over 150, 000 tons of U.S. hard red winter wheat, in a tender scheduled for 50,000 tons. Japan bought 70,000 tons of wheat in its regular weekly tender, taking 20,000 from the U.S. and 25,000 each from Canada and Australia.

Export sales out this morning confirmed the increased demand in wheat and beans while corn sales were the smallest of the year. Net wheat sales of 454,200 metric tons were 70 percent above the previous week and two and one-tenth times the prior 4-week average. Net sales of 309,400 MT for delivery in 2008/09 were also reported.

Net corn sales of 473,900 metric tons-a marketing-year low-were 32 percent below the previous week and 34 percent under the prior 4-week average.

Net soybean sales of 583,800 tons were three and one-fifth times the previous week and 87 percent above the prior 4-week average. Net sales of 60,000 tons for delivery in 2008/09 were also reported.

A spokesman for one of Argentina’s main farm groups said yesterday that their strike is unlikely to resume at any point within the 30-day truce period, even though many farmers were becoming impatient with the pace of negotiations. Last night, however, farm leaders and government officials confirmed that a discussion meeting was set up for mid-day on Friday.

These data and comments are provided for information purposes only and are not intended to be used for specific trading strategies. This commentary is written as a daily marketing tool to help farmers sell the grain they raise. Although all information is believed to be reliable, we cannot guarantee its accuracy or completeness. Commodity trading involves the risk of loss, and you should fully understand those risks before trading.