1/2/25
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PURE HEDGE
Good morning, below you will see levels you can lock in for a hedge, or trades that would make you short the Soybean Market. March’25 Soybeans settled at 1010 ¼ on Tuesday 12/31/24. If the Soybean Market opens higher today, then these trades would become less expensive, and I would recommend rolling the strikes higher, or closer to ‘at the money’. The Soybean Market is overvalued and presents an opportunity to Hedge at higher prices now, or to put on a short position. The South American Soybean crop is going to be record breaking, and there is still a big carryover. China has been stock piling Soybeans for a year and decreasing US purchases as well. I think it’s likely we will see the bottom of the market when we see real number from South America, especially from Brazil. If you are interested in any of these Soybean trades, or any other Market, just let me know. I can structure Hedges or Trades in any Market.
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THE TRADES LISTED BELOW ARE BASED ON MY MARKET OPINION ONLY, ARE SPECULATIVE TRADES AND REFLECT MY LONG-TERM MARKET OUTLOOK AND DOES NOT INCLUDE FEES AND COMMISSIONS.
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Theses trades were structured today, 1/2/25, using last sessions settlement prices.
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March’25 Soybeans were 1010 ¼ when these trades were structured.
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Buy 1 March’25 960 Put 9 ¼
Price: 9 ¼ Cost: $462.50/Trade Package, Plus Fees and Commissions
March’25 Soybeans Expire 2/21/25 (50 Days)
MAXIMUM LOSS: LIMITED
Margin $2,200.00/Contract
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Buy 1 March’25 980 Put 14 5/8
Price: 14 5/8 Cost: $732.25/Trade Package, Plus Fees and Commissions
March’25 Soybeans Expire 2/21/25 (50 Days)
MAXIMUM LOSS: LIMITED
Margin $2,200.00/Contract
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Buy 1 March’25 1000 Put 22 1/8
Price: 22 1/8 Cost: $1,106.25/Trade Package, Plus Fees and Commissions
March’25 Soybeans Expire 2/21/25 (50 Days)
MAXIMUM LOSS: LIMITED
Margin $2,200.00/Contract
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Sell 1 March’25 1100 Call 4 ¼
Buy 1 March’25 930 Put 4 ¼
Price: Even Cost: $0.00 or Even/Trade Package, Plus Fees and Commissions
March’25 Soybeans Expire 2/21/25 (50 Days)
MAXIMUM LOSS: UNLIMITED
Margin $2,200.00/Contract
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Sell 2 March’25 1100 Call 4 ¼
Buy 1 March’25 950 Put 7 1/8
Price: 1 3/8 Credit Cost: $68.75 Credit/Trade Package, Plus Fees and Commissions
March’25 Soybeans Expire 2/21/25 (50 Days)
MAXIMUM LOSS: UNLIMITED
Margin $2,200.00/Contract
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Sell 3 March’25 1100 Call 4 ¼
Buy 1 March’25 970 Put 11 ½
Price: 1 ¼ Credit Cost: $62.50 Credit/Trade Package, Plus Fees and Commissions
March’25 Soybeans Expire 2/21/25 (50 Days)
MAXIMUM LOSS: UNLIMITED
Margin $2,200.00/Contract
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CURRENT PRICE AND CURRENT VALUE REFLECTS TODAYS BID AND OFFER PRICE ONLY
AND WILL CHANGE OVER TIME AND WITH VOLATILITY. THERE IS SUBSTANTIAL RISK OF
LOSS TRADING FUTURES AND OPTIONS.
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-Bill
I have market commentary and option charts in
Pure Hedge – Livestock
Pure Hedge – Grain
Call for specific trade recommendations.
Email me for free research.
Bill Allen
Senior Account Executive
Direct: 1 312 957 8079
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