Soybeans pushed higher on Wednesday after a big drop on Tuesday.
According to Brian Roach, president of Roach Ag Marketing, Ltd., specs in both the corn and soybean markets are above neutral, while Chicago wheat is much higher than what is historically normal.
“We tie our rallies and the sell signals that we initiate for growers to take action,” said Roach. “We look at the specs and the levels that they are holding.”
Roach said what he and his team have been learning is that growers don’t like is that the specs aren’t in it long enough and in a long enough position to drive higher prices.
“The growers that are getting decent rains and they have different yields, it’s easy for them to sell on these rallies that we’ve had,” he said.
What will it take to move that spec position? Hear Roach’s full comments on AgDay above.