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| your question has a direct answer.
its all in what you beleive in what might happen and whats your out look.
i can't explain it all because there's a thousand ways to approach marketing and like the old saying goes{if you don't make a move, you've made a move}.
what i mentioned above was a farmer shorting his position and probably a buy in with options but in that case he would be looking for a bull market in the future. no one will give direct advice because everyone has a different mentality of what the future holds. if the market would rally then his short would start costing but his grain in the bin is long. so he would have to dump his short or loose profit.
you can make money when the market goes up or down. an option either put or call gives you the RIGHT but not the OBLAGATION to BUY the underlying contract. so its a futures contract that you can buy into if you want but don't have to but the option has a priemuim that you pay for that right.
i like the idea of covered calls especially in stock but commodities i have no idea on how to do this but i would bet its the same.
just remember me and my dad do not see eye to eye on many things and this might be one of them. he's been around longer!!!
traders wether hedgers etc give the market liquidity. so the more people trade the more money there is.
is it gambling?, yes. to an extent. thats my disclaimer. moderation and stay away from oats.
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Ruh Roh Raggy.......I see Green on my Screen!!!!
