Consider Buying a Call Option on November Soybean Futures
See on the daily bar chart for November soybean futures that prices took a beating in late June and early July. Recent price action has been choppier and hints of a market bottom being in place. See, too, at the bottom of the chart that the Moving Average Convergence Divergence (MACD) indicator has just recently produced a bullish line crossover signal, whereby the thick blue MACD line crossed above the thin red “trigger” line. Also, the month of August is arguably the most important growing month for the U.S. soybean crop, so a weather scare could still develop. Consider buying a call option on November soybeans, with an upside price objective of $12.00. The option expires in late October.
