Bean Oil  and Cattle Trade Ideas

Ben DiCostanzoGeneral Commentary Leave a Comment

For those interested I hold a weekly livestock webinar on Tuesdays. My next webinar will be Tuesday, October 06, 2026, at 3:15 pm.  If you cannot attend live a recording will be sent to your email upon completion of the webinar.

Sign Up Now

Soybean Oil could see some upside going into 2027, in my opinion.

Trade Strategy:

Soybean Oil

Buy the May 27 75 calls

Sell the 80/75 May Bean Oil put spread

Collect 100 points or $600  upon entry less trade costs and fees.

Margin $1205 per spread.

Max risk is $2400 plus commissions and fees.

February 2027 Live Cattle Options Strategy

Sell the February 2027 Live Cattle 250/230 put spread at 17 cents.

  • Premium collected: $6,800, less commissions and fees
  • Maximum risk: $1,200, plus commissions and fees
  • Margin requirement: $1,104
  • Risk management: Consider limiting risk to 200 points ($800) plus commissions and fees
  • Profit objective: Work a bid to buy back the spread at 7 cents
  • Potential gain: Approximately $4,000, less commissions and fees

Feeder Cattle Opportunity:

Sell the January 2027 Feeder Cattle 330/320 put spread for 700 points a $3,500.00 credit. Buy

the March Feeder Cattle 340 Call for 450 points a $2,250.00 debit.

  • Premium collected: $1,250.00, less commissions and fees(250 points) per spread
  • Maximum risk: $3,750, plus commissions and fees per spread

**Call me for a free consultation for a marketing plan regarding your livestock needs.**

Ben DiCostanzo

Senior Livestock Analyst

Walsh Trading, Inc.

Direct: 312.957.4163

888.391.7894

Fax: 312.256.0109

bdicostanzo@walshtrading.com

www.walshtrading.com

Walsh Trading, Inc. is registered as a Guaranteed Introducing Broker with the Commodity Futures Trading Commission and an NFA Member.​
Futures and options trading involves substantial risk and is not suitable for all investors. Therefore, individuals should carefully consider their financial condition in deciding whether to trade. Option traders should be aware that the exercise of a long option will result in a futures position. The valuation of futures and options may fluctuate, and as a result, clients may lose more than their original investment. The information contained on this site is the opinion of the writer or was obtained from sources cited within the commentary. The impact on market prices due to seasonal or market cycles and current news events may already be reflected in market prices. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.​

All information, communications, publications, and reports, including this specific material, used and distributed by Walsh Trading, Inc. (“WTI”) shall not be construed as a solicitation for entering into a derivatives transaction. WTI does not distribute research reports, employ research analysts, or maintain a research department as defined in CFTC Regulation 1.71.

Leave a Reply

Your email address will not be published. Required fields are marked *