CH never got down to 591. The lowest it traded was 5.95. I would hold off now in front of the Tuesday USDA number on trying to buy a dip and the scalp out of it.
The dow trade was and is still profitable. I am comfortable being short here now with a buy stop above protecting profits. Assuming you got short dow futures around 11650, today’s low at 11520 gave you a 130 point profit. Protect that profit and let it ride to the down side.
One caveat heading into this USDA report.
Every one I talk to is bullish.
Therefore, you have to be betting on a down side corrction.
Buy some cheap feb puts for ten cents a bushel. They could be worth 60 cents by the close of business on Wednesday.
Worst case scenario? You lose 10 cents a bushel. Best case? You turn a 500 dollar entry into 3K.
That is all.
