Is it me or grains are dead right now?

Discussion in 'Commodity Futures' started by TraDaToR, Jul 14, 2016.

  1. TraDaToR

    TraDaToR

    I think I have never seen the agricultural markets that dead in the previous 10 years. It's not that I am losing money, but I have never done such a low volume in a long time and my account hasn't grown much in the last 2 months.... Even in the weather scare bull market of the spring, it seemed activity didn't really pick up. I feel like there are just professionals against professionals and no weak hands to give you a good fill...

    Thoughts?
     
  2. marsman

    marsman

    I think there is oversupply in the world. Recently Russia has reported best harvest in their history or so...
     
  3. It sounds like a long term bear market...traders have lost interest. If prices start spiking up, traders will come back...until then? My opinion...this is what bear market bottoms look like, I'm long agriculture for the long term...world population still growing and need food...less farmers too. Sorry couldn't say much about short term trading the grains.
     
  4. K-Pia

    K-Pia

  5. Handle123

    Handle123

    All I can do is buy Grain market, recently did ok in Beans, Meal and Bean Oil, have been doing more of No profit Hedging, a grain market does nothing for 3-5 days after I get in, so I get out of all cept short option and if price starts going down, buy Puts and exit short puts. Can do credit spreads in futures as well.
     
  6. TradeCat

    TradeCat

    Is there an ETF for grains, orange juice, coffee beans and the like? I'd like to jump in. Oil is boring me.
     
  7. eganon69

    eganon69


    Yes but most are thinly traded. DBC is a substantial volume traded ETF representing commodities which include sugar, corn, coffee, and soy among other things.
     
  8. Handle123

    Handle123

    Each day is like a gap on most of them, be too dicey to trade.

    if what you do is not moving, why not credit spreads?
     
  9. TradeCat

    TradeCat

    Ok I like DBC. Thank you.
     
  10. For wheat market, it may be seasonality and the level of 400 as a target.
    Implied volatilities stay low as there is no interest for hedging purpose.
     
    #10     Jul 20, 2016