The Party's Almost Over For Monsanto

Shares Monsanto rocked 10% higher after the company raised its 2008 guidance. This news carried the rest of the ag sector higher and brought fresh hope that "agriculture is different."

The latest rise in Monsanto comes two days after shares dipped as low as $90 per share. Today's move puts the stock at $114.54 and back above the 50 day moving average. It also puts the stock back into the range where the better trade is on the short side.

Yes, the huge gains in agriculture stocks are backed by strong earnings and a bright future. "The world needs food," "people gotta eat," "India and China," and the whole set of standard rally cheers all still apply.

But after today, there's one less positive catalyst to move the stock, the recent skittish pile-on short sellers have covered, and the stock is potentially carving out a lower high on the near term chart.