Question on Corn delivery

Asking a noob question here. Corn, symbol ZC, has

Last Trading Day: The business day prior to the 15th calendar day of the contract month.

and

Last Delivery Day: Second business day following the last trading day of the delivery month.

My Question is: Take month of July, last trading day is 14th July. Does that mean there is no risk of facing delivery if I close my position prior to 14th July? If not, by when should I close a position in order not to risk delivery?

Thanks

 

Ask your broker.

 

put it this way if worse comes to worst you can feed some poor countries.

 

If you are long, you need to close your position the day before first notice. On grains it is the last day of the preceding month.

 

Your business relationship is with your broker. It is your broker's system you are trading on. They have rules, programming, policies, interpretations and applications, etc. that you must adhere to or suffer the consequences of. Telling them you heard something on a message board is no defense when you have a train car of corn headed your way. On their system is a day the strike of midnight, a pit session, an e-session, etc...are all things to be answered by them. Will they force your trade? They may or they may not. And you may have a choice by telling them in advance. I know I have the choice of being forced out of a trade automatically by programming, getting a note that an event is approaching, or not being forced at all which would envoke delivery one way or another.

You really need to know and understand your broker's rules & policies and have this mapped out in advance. Call them up - that's what they are there for - to serve you. Get your money's worth instead of ending up in a position you don't want to be in.

There are some pretty funny stories about bankers and barges of coal showing up at the front door; accidentally of course. Funny I say because to everyone but that banker, it's not hard to see it coming to someone. Don't let it be you.

 

if u are short after the 1st notice day, u don't have to worry about delivery. However, the liquidity after the 1st notice day will be extreme low. Make sure u have a floor broker to execute your trade after the first notice day.

Keep in mind, only 3% will take delivery