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Current Positions
- Short May Corn 440 Straddle – Sold for ~40¢. Take profits, exit now for ~20¢
- Long 2 May Cotton Futures from ~63.96. Target #3 has been hit, take profits here.
- May SDNC Put options on Corn and Beans. We will hold for track record, manage as you see fit.
New Recommendation
We’d like to sell new crop soybeans due to our bearish fundamental outlook. There has not been any sell signal given, but as we learned on March 16, futures can go on a tear without giving you time to react. This is an attractive level to establish a short, with a nearby risk exit to manage risk/reward.
Futures are 35¢ above their March 16 low, and sit just 15¢ below their contract high. This has been a steady grind higher but we’re not convinced fundamentals support this price level, particularly considering soybean acres are likely to grow from current estimates.
Short Soybean Recommendation
Entry: Sell 2 November Soybean futures, at the market.
Alternative Entry: Sell at $11.40, straight stop. (Take out low from outside day up on 3/31)
Target: $10.70-$10.90. Long term technical support level
Risk Exit: Buy at 11.65 straight stop, good-till-cancel.
Graphic:
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Disclaimer: The risk of loss in trading futures and/or options is substantial and each investor and/or trader must consider whether this is a suitable investment. Past performance, whether actual or indicated by simulated historical tests of strategies, is not indicative of future results. Trading advice is based on information taken from trades and statistical services and other sources that Brock Investor Services, Inc believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice is based on the opinion of Brock Investor Services, Inc and reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. There is a risk of losses as well as profits when trading futures and options. This brief statement does not disclose all the risk aspects of derivative trading, therefore careful study carrying FCM’s Risk Disclosure is strongly encouraged before the recipient of this email trades.