Livestock Report

June Lean Hogs gap opened lower, taking out the 93.525 low from April 10th breaking out of its trading range to a new low at 91.725. A blistering rally off the low took price to the session high at 94.175 then dive bombing and settling at 92.375. This is right at the 92.375 support level. The breakdown in price partially closed the gap from the April 2nd high at 91.50 to the April 3rd low at 92.10. A failure from settlement could see price make another attempt to close the gap on Wednesday. Continued pressure could see price test support at 90.425. If price rallies off of settlement a retest of the Tuesday high is possible.

June Live Cattle consolidated within the Monday range, forming an inside candlestick. It is in the upper middle of its 118.70 122.975 trading range, settling at 121.125. Consolidation will continue until it closes above or below the trading range, in my opinion. A close above the high could lead to a test of resistance at 124.30. A close below the low could see price test the 117.725 and 116.55 support levels.

Ben DiCostanzo

Senior Market Strategist

Walsh Trading, Inc.

Direct: 312.957.4163

888.391.7894

Fax: 312.256.0109,

bdicostanzo@walshtrading.com

www.walshtrading.com

RISK DISCLOSURE: THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES AND OPTIONS TRADING. THIS REPORT IS A SOLICITATION FOR ENTERING A DERIVATIVES TRANSACTION AND ALL TRANSACTIONS INCLUDE A SUBSTANTIAL RISK OF LOSS. THE USE OF A STOP-LOSS ORDER MAY NOT NECESSARILY LIMIT YOUR LOSS TO THE INTENDED AMOUNT. WHILE CURRENT EVENTS, MARKET ANNOUNCEMENTS AND SEASONAL FACTORS ARE TYPICALLY BUILT INTO FUTURES PRICES, A MOVEMENT IN THE CASH MARKET WOULD NOT NECESSARILY MOVE IN TANDEM WITH THE RELATED FUTURES AND OPTIONS CONTRACTS.