Ag trade ideas

Discussion in 'Commodity Futures' started by TraDaToR, Aug 24, 2014.

  1. bone

    bone

    Wheat Calendar Spread Pair, as documented here earlier and was shorted by some of my clients in the Feb and early Mar time frame, has hit it's profit target earlier this week.

    [​IMG]
     
    #521     Apr 28, 2015
  2. bone

    bone

    I had a couple brave souls get long a Lean Hog butterfly a couple of weeks ago - nothing doing as of yet. Personally, this trade does not stir my soul in the least.

    [​IMG]
     
    #522     Apr 28, 2015
  3. bone

    bone

    I know this is an interest rate spread, but I wanted to show a trade that stopped out for a loss according to our system rules. Euribor Butterfly, taken as a sell by clients and documented elsewhere on ET here in February, was stopped out for a loss the second week in April.

    [​IMG]
     
    #523     Apr 28, 2015
  4. i960

    i960

    For the guys who do native exchange traded spreads are the commissions usually double to account for both legs? Is it treated as a real separate instrument by the exchange where each leg cannot be managed individually or is it really just an exchange provided instrument to remove legging risk and that's about it?
     
    #524     Apr 28, 2015
  5. bone

    bone

    1. The commission is not "round turn"; just for the individual buy and sell component contracts executed in the exchange spread combination.

    2. You can leg out of an exchange spread provided that the instruments being closed out are identical. You can also execute calendar spreads and roll individual legs.

    3. The advantage to exchange spreads is execution and slippage risk ( legging ). You don't need to leg or use automation for trading them. Another advantage is that exchange supported spreads appear in the order book, or ticket, or DOM window, as an individual price ( the collective spread differential ). In other words, for that Liffe Euribor spread I have above, the market would be -75 bid and -74 offered. Once executed, my fill window will have all three spread legs listed by quantity and price - and those exact quantities and prices will appear on your daily statement. Furthermore, that singular exchange supported spread will accommodate all of the types of orders that singular flat price futures ( like ESM5 for example ) use. So, for that Euribor butterfly exchange spread, I can use FOK, OCO, MOO, MOC, limit, stop limit, etc. etc.

    4. Depending upon your execution platform and FCM, you will have to ask the firm's Risk Manager to enable your platform settings to receive exchange supported spreads. There are, literally, hundreds if not thousands of them depending upon the exchange product portfolio.
     
    #525     Apr 28, 2015
  6. lx008

    lx008

    Another article about why it makes sense to short new crop soybean or just be not so bullish about beans . The Argentina and Brazil strikes can not last for long and China demand for US bean will soon be switched to SA http://seekingalpha.com/article/311...-more-likely-for-2015-and-bearish-for-soybean
     
    #526     May 1, 2015
    TraDaToR likes this.
  7. TraDaToR

    TraDaToR

    Short Oct / Long Apr16 Live Cattle @ 0.250. Only got half desired position.
     
    #527     May 1, 2015
  8. TraDaToR

    TraDaToR

    Out @ 1.975 finally.:)

    It seemed I had this position for 6 months or so...
     
    #528     May 1, 2015
    i960, thefuturestrader and FCXoptions like this.
  9. Nice trade there.
     
    #529     May 1, 2015
  10. TraDaToR

    TraDaToR

    Long Jul/Short Sep Hard Red Spring Wheat @ -11.25. Close to historical carry + Seasonals.
     
    #530     May 5, 2015
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