Feedlot Spreads aka Cattle Crush

Discussion in 'Commodity Futures' started by stoic, Dec 22, 2013.

  1. TraDaToR

    TraDaToR

    1 Feeder Cattle and 1 corn to obtain 2 live cattle. Approximative but close.
     
    #11     Feb 11, 2014
  2. stoic

    stoic

    Could that be called the poor mans cattle crush ? :)

    The attached shows a comparison for the Jan. 2013 spreads in 5- 4-10 & 1-1-2

    One could ponder which is a better representation of the real world, and/or better trading ratios.
     
    #12     Feb 13, 2014
  3. stoic

    stoic

    After further review, an evaluation of the 5-4-10 ratio vs. the 1-1-2, I find that the 1-1-2 doesn't work and will show losses while the 5-4-10 shows profits for the same time frame.
     
    #13     May 9, 2014