|
NW KS | Before I would do something like that I would know my breakevens, yields, crop ins guarantees and possible payouts, which I am sure you do.
To me it would be more of a "psychological trade", one of those spend a few cents a bushel so I don't get that I got screwed feeling down the road if futures shoot for the moon.
I think you might be able to dog leg into the trade, sell the corn now and buy back some paper in a month or so and get a better strike price for the same money.
Obviously the risk would be if futures drop or stay flat, and basis improves you lose out.
With all that said, if I really wanted to sell some right now, I would probably just sell it and be happy, or maybe buy some OTM calls on a percentage, maybe a 1/4. This all depends on what percentage you are talking about selling and the above info.
Just my opinion, worth what you paid for it. | |
|
call strategy
