OJ/ Coffee Random Musings

Dumped my 1x2 ratio spread in oct sugar options for a nice .50 gain per spread.

Still short my nov lumber contracts from 256

Offering 1.25 on some sep 13.00 sugar straddles. Nice breakeven points on this spread if I can get it done. 21 days till exp.

Also trying to get out of my short sep 175 coffee calls for around .25 At one time they actually traded for .10 when coffee was higher than it is now!!! But naturally I missed that opportunity lol!

Im debating about putting on a 1x2 call spread in sep oj...........vol is high and it usda came out and said that we have the highest oj crop since 03/04.......only thing to worry about is the tropical storms but I will take my chances. Anybody done much trading in oj options? I know they aren't very liquid but could I get a good quote from the floor on a spread like that?
 
I've traded some juice options with mixed results. you'll get pretty wide bid ask spreads on option spreads but i've had good luck getting them filled if you let them dangle for a day or two.
 
nothing on right now in juice. have tried to work a couple of calendar put spreads with the sell off to no avail. In general i sell premium and hedge it buy buying a near month option and selling one with more time decay. unable today trying to buy jan 85 puts and sell march 80 puts at a decent net credit on the spread.

In the past i've made money on selling OJ calls in the march contract around december and playing on no or a low impact frost on the orange crop. Traditionally this has been a decent trade for me.
 
i usually do 1 by 1 on all my calendar option spreads. very rarely do I do them as a ratio. Since i primarily sell volatility I just keep rolling them forward as the first month deteriorates as long as the fundamentals are still favorable.
 
I think it is about time to sell some OTM puts in FCOJ with the exchange opening up lower strikes today. Time for the seasonal go.
 
Short The Rallies


Quote from Rtrader2525:

im long coffee, seasonal weakness about over. IT has held this area very very well. Just playing it with outright futures
More...
 

Attachments

You must log in or register to reply here.
Back
Top