OPTIONS PLAY: Bearish Tilt In SOYBEANS Should Continue

After The U.S.D.A. Report Coming In Line with Expectations I look For The Stronger U.S. Dollar To Push SOYBEANS To New Lows For The Move

MY ANALYSIS

Fundamentally, with nothing too shocking in the U.S.D.A Supply/Demand Report I look for the bearish tilt to continue in the SOYBEAN market. We look to buy puts on any bounce.

Technically, we see a strong DOWNWARD trend indicated by 2 MA's. This market has bounced back up to resistance and should move lower from here. See daily chart below.

                                                   BUYING OPTIONS=STAYING POWER

OPTIONS PLAY: 

MAY SOYBEANS-$9.49/BUSHEL

OPTION EXPIRY-APRIL 23RD

CONTRACT SIZE-5,000 BUSHELS

LEVERAGE FACTOR-$.10=$500

BUY MAY PUTS

We also buy in a 3 to 1 ratio an outright CALL in case the market makes a MAJOR move against us.  

For More Trade Ideas Go To:    http://mckinneytrading.blogspot.com/

WE ARE ALSO BUYING OPTIONS IN U.S. 30 YEAR TREASURY BONDS, SILVER, GOLD, SOFTS, and OIL.  

THE BEST SERVICE I CAN OFFER YOU AS MY CLIENT IS WHEN TO GET IN AND WHEN TO GET OUT!

Call or email me with your phone number for a detailed explanation of the strategies 312-277-0115 or  mmckinney@zaner.com.                               

Futures, options and forex trading is speculative in nature and involves substantial risk of loss. All known news and events have already been factored into the price of the underlying commodities discussed. The limited risk characteristic of options refers to long options only; and refers to the amount of the loss, which is defined as premium paid on the option(s) plus commissions