TRADING COMMODITY FUTURES AND OPTIONS INVOLVES SUBSTANTIAL RISK OF LOSS AND MAY NOT BE SUITABLE FOR ALL INVESTORS. YOU SHOULD CAREFULLY CONSIDER WHETHER TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR CIRCUMSTANCES, KNOWLEDGE AND FINANCIAL RESOURCES.
OPTIONS PLAY: ICE Sugar Futures Still Sweet
In my opinion, ICE Sugar Futures are in a super trend higher on both the daily chart and the weekly chart.
MY ANALYSIS
Fundamentally, in my opinion, ICE SUGAR FUTURES could possibly continue to trade higher for 3 basic reasons:
1. Weaker USD
2. Higher Corn Prices (Corn can be an alternative sweetner)
3. Shipping Delays In Brazil
Technically, I see ICE SUGAR FUTURES in a SUPER TREND higher on both the weekly and daily time frames which I define as a market that holds above both the 9 period Moving Averages and the 20 period Moving Averages as the MA’s point higher. Although this market could be over bought and due for a correction, the trend up, in my opinion, could continue. See daily and weekly charts below. Additional charts, studies, and commentary can be found at http://markethead.com/2.0/free_trial.asp?rid=McKinney
DAILY CHART
WEEKLY CHART
OPTIONS PLAY
BUY BULL CALL SPREADS OR STRAIGHT OPTIONS
We also buy in a 3 to1 ratio an outright PUT in case the market makes a MAJOR move against us.
FOR 25 OPTION STRATEGIES CLICK HERE: http://www.zaner.com/3.0/mmck.asp
WE ARE ALSO FOCUSING ON COMMODITY OPTIONS IN U.S. 30 YEAR TREASURY BONDS, GOLD, OIL, GRAINS, SOFTS, and INDICES.
FREE QUOTE- “Second Place Is Really The First Loser.” -George Steinbrenner, The Boss
Before you place any of these trades in your account you should call or email me with your phone number for a detailed explanation of the strategies and the risks involved at 312-277-0115 or mmckinney@zaner.com.
Futures, options and forex trading is speculative in nature and involves substantial risk of loss. All known news and events have already been factored into the price of the underlying commodities discussed. The limited risk characteristic of options refers to long options only; and refers to the amount of the loss, which is defined as premium paid on the option(s) plus commissions.
FOR CUSTOMERS TRADING OPTIONS, THESE FUTURES CHARTS ARE PRESENTED FOR INFORMATIONAL PURPOSES ONLY. THEY ARE INTENDED TO SHOW HOW INVESTING IN OPTIONS CAN DEPEND ON THE UNDERLYING FUTURES PRICES; SPECIFICALLY, WHETHER OR NOT AN OPTION PURCHASER IS BUYING AN IN-THE-MONEY, AT-THE-MONEY, OR OUT-OF-THE-MONEY OPTION. FURTHERMORE, THE PURCHASER WILL BE ABLE TO DETERMINE WHETHER OR NOT TO EXERCISE HIS RIGHT ON AN OPTION DEPENDING ON HOW THE OPTION’S STRIKE PRICE COMPARES TO THE UNDERLYING FUTURE’S PRICE. THE FUTURES CHARTS ARE NOT INTENDED TO IMPLY THAT OPTION PRICES MOVE IN TANDEM WITH FUTURES PRICES. IN FACT, OPTION PRICES MAY ONLY MOVE A FRACTION OF THE PRICE MOVE IN THE UNDERLYING FUTURES. IN SOME CASES, THE OPTION MAY NOT MOVE AT ALL OR EVEN MOVE IN THE OPPOSITE DIRECTION
