Option Trade of the Day!
By Paul Brittain • Oct 26th, 2009 • Category: Softs
10-26-09
Sugar is currently trading at prices not seen since the late 70’s and the recent run up in prices seems to have lost its steam. This is could be an excellent time to start establishing a position to take advantage of these prices. One way is just buying “deep out of the money plain vanilla” puts. We like the October 2010 10 cent puts for about $100 each. We are under the impression that once the market drops we could see prices below 8 cents in the not too distant future. Of course using 8 cents as a target there are many other puts between here and there that would work. Call us to discuss your needs.
There is a substantial Risk of Loss in Trading Futures and Options.
