Grain markets were buoyed Tuesday by USDA's announcement of new soybean shipments to China. That announcement was the positive sign the markets were waiting for, according to Dan Basse of AgResource.

"I do believe that USDA will still be cutting soybean exports another 25 to 75 billion bushels in upcoming reports but I'm heartened that the Chinese are there buying," Bosse told Farm Journal Live. "We didn't have any sales last week, so this sale today was needed bump in the arm."

Now, Bosse said he's watching the ethanol market for signals.

"I think that's the canary in the coal mine, Bosse said. "We have seen gasoline demand start to come back. We are starting to raise some of those ethanol estimates just a scosche We expect another two or three plants to come back online today, that'll be very helpful, I believe, for the grain market."

See all of Bosse's market analysis on Farm Journal Live in the player above.