Buying Sugar

Discussion in 'Commodity Futures' started by Pa(b)st Prime, Jan 31, 2007.

  1. I've been buying Mch from 1055-1043 the past two days. You'll see the support at the breakout level from Sept/05.
  2. I know with the announcment by W that they will try to migrate into ethanol. I am surprised that sugar has not spike. maybe becuase the ethanol consists of london sugar and not new york i am not sure. but even the nybot as launching an ethanol future soon and wuld imgain that there will be a direct i think now is a good time to go long especially since u can qauntify your maximum lost at these levels.

    anyone who can provide more info on the ethanol sugar equation or the london-ny arb that would be great.
  3. W mentioned ethanol last year at the SOTU and that literally marked the top of the sugar market.
    The reason for the big dump in sugar over the past year is purely a supply issue - globally we planted huge amounts..
    This year, it will be a different story. Ethanol demand is huge, and we should at some point see 30-35 cent sugar...
    We just need a bad Brazilian/Thai crop...

    March 08 options are CCCHHHHHEEEEAP
  4. Double bottom in sugar?
  5. huge230


    I dont trade commodities at all but am interested. I am looking at sugar futures SB on IB and i go to pull up a chart and it looks as if it hardly ever trades and with very small volume. I know this can not be the case but why does the IB chart show up like this?
  6. SB just started trading electronically, and at the moment is offered by NYMEX in an attempt to knock NYBOT off. It's possible when NYBOT finally offers their side-by-side contract that it will have some good volume.

    In the meantime, the only way to really trade sugar is in the pit (which IB doesn't offer)
  7. huge230


    Thanks for the reply. If I was to wet my whistle with some commodity trading what futures offer decent volume which i can trade at IB?

  8. dhpar


    do you know of broker that offers pit trading in Sugar?
  9. The softs are out, at least for the moment, but the electronic grains are very active. Wheat, Corn, Soy, Soy meal, and Soy oil are all good to trade, even on an intra-day basis. CME's lean hogs seem to have some tight spreads lately too. IB also supports a variety of pit contracts at CME and CBOT.

    dhpar- Pit trading in Sugar is available through most of the big established guys (RJ O'Brien, Rosenthal Collins, Man Financial, Lind-Waldock, etc.)

    I had pretty bad luck with Man. A friend of mine has been with Rosenthal-Collins for 30-odd years.
  10. dhpar


    thanks again!
    #10     Feb 9, 2007