1/5/24
The Cattle and Soybean Markets continued to slide lower today. February’24 Live Cattle was 0.550 lower today and settled at 170.575, just above today’s low of 170.100. The 1-month and 52-week low is 162.400. Since 12/5 February’24 Live Cattle are up 1.400 or almost 1%. The Feeders also slid lower today. March’24 Feeder Cattle were down 1.500 today and settled at 224.150. The 1-month and 52-week low is 210.625. Since 12/5 March’24 Feeders are up 6.700 or just over 3%. The Hogs closed higher on the day. February’24 Lean Hogs were 0.950 higher today and settled at 70.000, just under today’s high of 70.500. The 1-month and 52-week low is 64.575. Since 12/5 February’24 Lean Hogs are 0.700 higher or just above 1%. The Soybean Market continued to drop today. March’24 Soybeans fell another 11 ¼ cents today and settled at 1256 ¼, just above today’s low of 1255, which is also the 1-month low. Since 12/5 March’24 Soybeans are down 70 ½ cents or almost 5 ½%. Now A Public Service Announcement: The 52-week low is 1145 ¼. The Corn closed lower as well. March’24 Corn slid another 5 ¾ cents today and settled at 460 ¾, just above today’s low of 460, which is also the 1-month and 52-week low. Since 12/5 March’24 Corn is 29 ¾ lower or over 6%. The Wheat market had a gain today. March’24 Wheat gained 2 ½ cents today and settled at 616, in the middle of today’s trading range. The 1-month low is 591 ¼. Since 12/5 March’24 Wheat is down 15 cents or over 2%. I said not long ago that I expected a 50-cent break in the Soybean market after the first of the year, and it’s already here. The Option trade I structured before the end of last year is now in the money, and is up 76 1/8 cents, for just one trade package. Thats $3,806.25 for each time you did the trade. I still think the Soybeans are heading a lot lower. There is still time to catch the rest of the break I feel is coming. I still feel that the Cattle Market will continue to grind lower from here as well. There is always risk in any futures or options trade, as everyone knows. Maybe I see things differently, but I still see opportunity. Call me if you would like to talk about it, Next Year’s Current Prices: August’24 Soybeans 1253 1/4, September’24 Corn 486 3/4, September’24 Wheat 645 1/4.
SOYBEAN CALLS
| MONTH | STRIKE | PRICE | COST |
| MAR’24 1256 1/4 | 1350C | 5 7/8 | $293.75 |
| 1400C | 2 3/8 | $118.75 | |
| 1450C | 1 | $50 | |
| ATM 1260C 29 1/4 | ATM STRADDLE 62 1/4 | EXPIRES 2/23/24 | |
| MAY’24 1264 1/4 | 1400C | 9 7/8 | $493.75 |
| 1440C | 6 1/8 | $306.25 | |
| 1500C | 3 1/4 | $162.50 | |
| ATM 1260C 48 78 | ATM STRADDLE 93.625 | EXPIRES 4/26/24 | |
| JUL’24 1269 3/4 | 1400C | 19 3/4 | $987.50 |
| 1500C | 8 1/4 | $412.50 | |
| 1600C | 3 3/4 | $187.50 | |
| ATM 1260C 63 7/8 | ATM STRADDLE 118 1/4 | EXPIRES 6/21/24 |
SOYBEAN PUTS
| MONTH | STRIKE | PRICE | COST |
| MAR’24 1256 1/4 | 1200P | 10 7/8 | $543.75 |
| 1150P | 3 4/6 | $187.50 | |
| 1100P | 1 1/2 | $75 | |
| ATM 1260P 33 | ATM STRADDLE 62 1/4 | EXPIRES 2/23/24 | |
| MAY’24 1264 1/4 | 1100P | 4 7/8 | $243.75 |
| 1040P | 2 1/4 | $112.50 | |
| 1000P | 1 1/2 | $75 | |
| ATM 1260P 44 3/4 | ATM STRADDLE 93.625 | EXPIRES 4/26/24 | |
| JUL’24 1269 3/4 | 1200P | 29 1/2 | $1,475 |
| 1100P | 8 3/4 | $437.50 | |
| 1000P | 2 3/4 | $137.50 | |
| ATM 1260P 54 3/8 | ATM STRADDLE 118 1/4 | EXPIRES 6/21/24 |
AUGUST’24 SOYBEAN
| CURRENT PRICE | PRICE ACTION | PRICE AFTER MOVE | STRIKE | CURRENT PRICE |
| 1253 1/4 | 10% BULL MOVE | 1378 3/4 | 1360C | 30 7/8 |
| 1253 1/4 | 10% BEAR MOVE | 1127 7/8 | 1140P | 22 1/2 |
| 1253 1/4 | 20% BULL MOVE | 1503 7/8 | 1500C | 10 3/4 |
| 1253 1/4 | 20% BEAR MOVE | 1002 3/4 | 1020P | 5 5/8 |
| 1253 1/4 | 30% BULL MOVE | 1629 1/4 | 1620C | 4 7/8 |
| 1253 1/4 | 30% BEAR MOVE | 877 1/4 | 880P | 1 3/8 |
CORN CALLS
| MONTH | STRIKE | PRICE | COST |
| MAR’24 460 3/4 | 500C | 1 7/8 | $93.75 |
| 530C | 1/2 | $25 | |
| 560C | 3/8 | $18.75 | |
| ATM 460C 11 3/4 | ATM STRADDLE 22 3/4 | EXPIRES 2/23/24 | |
| MAY’24 473 1/4 | 550C | 3 1/8 | $156.25 |
| 600C | 1 1/8 | $56.25 | |
| 650C | 5/8 | $31.25 | |
| ATM 470C 21 1/8 | ATM STRADDLE 39 | EXPIRES 4/26/24 | |
| JUL’24 483 3/4 | 550C | 9 1/4 | $462.50 |
| 600C | 4 3/8 | $218.75 | |
| 650C | 2 1/4 | $112.50 | |
| ATM 480C 28 5/8 | ATM STRADDLE 53 5/8 | EXPIRES 6/21/24 |
CORN PUTS
| MONTH | STRIKE | PRICE | COST |
| MAR’24 460 3/4 | 440P | 3 1/2 | $175 |
| 430P | 1 7/8 | $93.75 | |
| 420P | 1 1/8 | $56.25 | |
| ATM 460P 11 | ATM STRADDLE 22 3/4 | EXPIRES 2/23/24 | |
| MAY’24 473 1/4 | 440P | 6 1/4 | $312.50 |
| 420P | 2 3/4 | $137.50 | |
| 400P | 1 1/4 | $62.50 | |
| ATM 470P 17 7/8 | ATM STRADDLE 39 | EXPIRES 4/26/24 | |
| JUL’24 483 3/4 | 450P | 11 3/4 | $587.50 |
| 400P | 2 1/4 | $112.50 | |
| 350P | 3/8 | $18.75 | |
| ATM 480P 25 | ATM STRADDLE 53 5/8 | EXPIRES 6/21/24 |
SEPTEMBER’24 CORN
| CURRENT PRICE | PRICE ACTION | PRICE AFTER MOVE | STRIKE | CURRENT PRICE |
| 486 3/4 | 10% BULL MOVE | 535 3/8 | 530C | 21 3/8 |
| 486 3/4 | 10% BEAR MOVE | 438 1/8 | 440P | 14 1/8 |
| 486 3/4 | 20% BULL MOVE | 584 1/8 | 580C | 12 |
| 486 3/4 | 20% BEAR MOVE | 389 3/8 | 400P | 4 7/8 |
| 486 3/4 | 30% BULL MOVE | 632 3/4 | 630C | 6 7/8 |
| 486 3/4 | 30% BEAR MOVE | 340 3/4 | 350P | 1 1/8 |
WHEAT CALLS
| MONTH | STRIKE | PRICE | COST |
| MAR’24 616 | 650C | 12 7/8 | $643.75 |
| 700C | 5 | $250 | |
| 750C | 2 1/8 | $106.25 | |
| ATM 615C 24 3/4 | ATM STRADDLE 48 1/2 | EXPIRES 2/23/24 | |
| MAY’24 627 1/2 | 700C | 16 3/4 | $837.50 |
| 750C | 9 3/4 | $487.50 | |
| 800C | 6 | $300 | |
| ATM 630C 36 3/4 | ATM STRADDLE 75 7/8 | EXPIRES 4/26/24 | |
| JUL’24 635 | 700C | 26 1/8 | $1,306.25 |
| 800C | 11 3/8 | $568.75 | |
| 900C | 5 3/4 | $287.50 | |
| ATM 630C 48 3/8 | ATM STRADDLE 91 7/8 | EXPIRES 6/21/24 |
WHEAT PUTS
| MONTH | STRIKE | PRICE | COST |
| MAR’24 616 | 550P | 3 | $150 |
| 525P | 1 | $50 | |
| 500P | 1/2 | $25 | |
| ATM 615P 23 3/4 | ATM STRADDLE 48 1/2 | EXPIRES 2/23/24 | |
| MAY’24 627 1/2 | 550P | 7 7/8 | $393.75 |
| 500P | 2 1/4 | $112.50 | |
| 450P | 5/8 | $31.25 | |
| ATM 630P 39 1/8 | ATM STRADDLE 75 7/8 | EXPIRES 4/26/24 | |
| JUL’24 635 | 550P | 11 3/8 | $568.75 |
| 500P | 3 3/4 | $187.50 | |
| 450P | 1 1/4 | $62.50 | |
| ATM 630P 43 1/2 | ATM STRADDLE 91 7/8 | EXPIRES 6/21/24 |
SEPTEMBER’24 WHEAT
| CURRENT PRICE | PRICE ACTION | PRICE AFTER MOVE | STRIKE | CURRENT PRICE |
| 645 1/4 | 10% BULL MOVE | 709 3/4 | 700C | 37 |
| 645 1/4 | 10% BEAR MOVE | 580 3/4 | 590P | 28 1/8 |
| 645 1/4 | 20% BULL MOVE | 774 3/8 | 770C | 22 5/8 |
| 645 1/4 | 20% BEAR MOVE | 516 1/4 | 520P | 8 5/8 |
| 645 1/4 | 30% BULL MOVE | 838 3/4 | 830C | 15 1/4 |
| 645 1/4 | 30% BEAR MOVE | 451 5/8 | 460P | 2 1/2 |
I have Option Strike prices every Friday.
I have market commentary and Option charts in Pure Hedge – Livestock
Pure Hedge – Grain at WWW.WALSHTRADING.COM
Call for specific trade recommendations.
1-312-957-8079
Email me for free research.
Bill Allen
Senior Account Executive
Direct: 1 312 957 8079
WALSH TRADING INC.
53 West Jackson Boulevard, Suite 750
Chicago, Illinois 60604
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 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.