Options on the Grains

Discussion in 'Commodity Futures' started by timetotrade, Jul 6, 2007.

  1. With periodic crop reports moving these markets, such as the limit up move in the beans last week, are options available for trading in the grains for using as a hedge? IB does not seem to make them available. Anyone trade options in the grains with IB or another broker, for that matter?
  2. IB makes available options on grains on CBOT only to CBOT data subscribers.
    However any broker that offers futures or options on futures would let you trade grains. Grains are electronically traded, have the advantage of liquidity, good order execution and low commissions.
    For the last couple of months I've been selling far out of the money calls on wheat and soybeans :)
  3. where can one trade them electronically ?
  4. Any broker who lets you trade CBOT contracts ... FCMs like Alaron,
    PFG, Man Financial, RJO or their IBs (introducing brokers).

    From my experience IBs charge lower commisions .... FCMs don't want to be bothered with the "little guy" :D
  5. Instead of options, be willing to trade the spot month futures during delivery because it trades with no price limit. You'll have a better idea where the market really is when the deferred months are locked-limit.