The Crush Spread

maninjapan · Oct 27, 2008

Kinda new to ag spreads here. Is it possible to trade the crush spread directly, or do you need to leg in on each contract separately?

traderTX · Oct 27, 2008

no, you cannot trade the crush directly, (BCX I assume your talking about), gotta leg it.

Rtrader2525 · Oct 27, 2008

soybean "crush" and cattle "crush" have all gotta be legged into. I dont like using my broker but for those trades its defintily nice

maninjapan · Oct 28, 2008

Cheers guys, I use Xtrader and am looking at taking advantage of the AutoSpreader function. Is there enough liquidity in the electronic markets? And what would be an 'average' spread you would expect to see?

traderTX · Oct 28, 2008

you shouldn't have any liquidity problem in those markets on the electronic side. The crush value is different depending on which month you are trading. (Dec crush, Jan crush etc). Just remember to pair the correct months in each spread.

covered_call · Oct 28, 2008

The crush spreads well on tt's autospreader. liquidity is fine.

nokomisjeff · Oct 28, 2008

Are you buying or selling the spread?

Rtrader2525 · Oct 28, 2008

what does everybody make of this suprise report?

maninjapan · Oct 28, 2008

Quote from covered_call:

The crush spreads well on tt's autospreader. liquidity is fine.

Do you trade it on TT? Do you set it up the traditional way or as an equity spread? Woudl you mine sharing your settings ?

covered_call · Oct 29, 2008

I do trade on TT but no, I'd rather not share my setup for the crush as it's proprietary and I didn't come up with it. one of my trading partners suggested the setup I use.