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NE Nebraska | I don’t consider to be a BTO. Just talking corn we produce about 100k bushels a year. We are able to store on farm and use the fall winter and spring months to air dry. New crop is roughly 2/3 sold in the April May June timeframe with forward contracts to nearby ethanol plant. Delivery of bushels takes place the following summer. Have been using Roach sell signals and sell small increments at the highs. This system is simple, straightforward, and has worked.
Ive entertained, a time or two, via visits with a local brokerage about selling futures. I understand the drill about capturing the carry and then finally making the cash sale according to basis, thereby capturing basis. For numerous reasons I’m just not comfortable with it. I feel a bit of pressure that this is what the “cool kids”do (my wording) and I should be doing it too. Just wanting to hear from others who have decided one way or another. Thanks.
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Why you don’t or won’t sell futures - still mostly cash sales here
