Trade Idea – Soybeans

July 2017 /ZS Put Agricultural commodities such as soybeans, wheat and corn offer an interesting market to trade that is uncorrelated to the equities markets. Grain prices are not impacted by interest rates or earnings surprises the way that stocks are.  Of course there is no “free lunch” and grain pricing can become extremely volatile as a…

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Weekend Portfolio Analysis (January 28, 2017)

Market Analysis It was a historic week on Wall Street as the Dow Jones Industrial Average finally climbed above 20,000 on Wednesday. The world’s most-watched stock market barometer is becoming even more watched which has very positive psychological implications for the market. The S&P 500 Index also hit a new milestone trading briefly on Thursday…

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Trade Idea – Crude Oil Strangle

May 2017 /CL Strangle Trading strangles in crude oil has proven to be one of my most consistent and profitable strategies. However, with volatility at extreme low levels in crude oil, the premiums received on these trades is much smaller. Also, it typically results in having to remain in the trade for a longer time period, especially…

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Trade Idea – Another GDXJ Strangle

Just eight days ago, I sold the GDXJ Feb 17 43/32 Strangle. In just over a week, that trade is nearly at 50% of maximum profit and I will be looking at closing it probably within the next few days. With little opportunities in this low volatility environment, I opened yet another position in GDXJ…

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Weekend Portfolio Analysis (January 21, 2017)

Market Analysis The transfer of power in the United States peacefully occurred yesterday at noon for the forty-fifth time in our country’s history. Regardless of a person’s individual political views, one cannot discount this rather unique hallmark of American democracy. The president’s first 100 days in office will constitute a period of evaluation. While the new administration will likely make…

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