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Hub You - My Experiences Trading Sugar Commodity Futures Contracts and Options
Being a speaker and consultant in our industry makes each trip to a restaurant a miniresearch project. It’s enlightening watching managers do their thing and then see the employees, unbeknownst to the manager, taking their cues from their leader.My local full-service chain’s manager walks around always looking busy, yet never interacting with any guests other than a cursory thanks on the way out. He fails to see the empty tea glasses, dirty tables, or check waiting to be paid. In most quick-serves I frequent, the manager is likely “processing” people at the register (Next! Anything else? Next!) or working in the kitchen.There’s an old saying, “Always imitate the behavior of winners,” and I’d like to highlight three winners I’ve run into in my
During normal or quiet markets, options on sugar futures are usually cheap and you can buy a lot of time. Strategies are abundant for spreads, straddles, and strangles. Sugar makes lots of lon
There are hundreds of thousands of people who are trying to make an honest living on the Internet these days. The Internet is a great opportunity for starting your own business. There is not a lot of start-up cost, you can reach the whole world from a small corner of your own house, and the income can be exceptional.However, a lot of us publishers and Internet marketers are running into a serious problem.Before I start talking about it, I want to ask you all a question - How many of you get junk snail mail? Everyone, right? Now, how many of you call the cops when you get it? None, right? Of course not because that would be ridiculous!We simply throw it in the trash and forget about it. Very easy, right?What I don't understand is
Sugar is a great market for beginning commodity traders. Sugar futures contracts require a small margin and rarely make extreme moves. Currently, an account margin of $1200 will control about $13,000 worth of sugar. (112,000 lbs at 12 cents per pound) A one cent move in sugar equates to $1120.
Brazil is now energy independent from its use of ethanol in the form of alcohol. Ethanol is derived from sugar. This has brought a great increase in the number of speculators and commercial hedgers trading in sugar futures and options. The volatility and liquidity generated is a positive by-product.
Sugar trades for only three hours a day, from 9am-12pm. What a great life to be an expert sugar trader! It's a fifteen hour work week.
Sugar has made several extreme moves over the last thirty-five years. The last big move to 18 cents a pound was last year. In the early 1980's sugar hit 44 cents a pound. In the early 1970's sugar hit 66 cents!
On the other side, sugar once got as low as 2.5 cents a pound. The whole 112,000 pound contract was worth only $2800! You could have taken delivery and warehoused it for a few years and sold it for 15 cents a pound or $16,800. (Or just kept rolling the contracts forward with no delivery) That's not a bad profit if you believed sugar was not going to be free. Multiply this times ten contracts and you are looking at over $160,000 on a $30,000 investment. There certainly is opportunity if one is willing to take on the risk.
During normal or quiet markets, options on sugar futures are usually cheap and you can buy a lot of time. Strategies are abundant for spreads, straddles, and strangles. Sugar makes lots of lon
We all might think that availing a low cost secured loan is impossible. But the fact is that it is now possible. Secured loans are the loans that demand some collateral against the repayment of loan amount. The collateral can be anything; it may be your home, automobile, or other movable or immovable property. The best part of these loans is that you can avail amount that is 125% of your collateral. The amount you are looking to borrow and the interest rate both will be decided on the basis of your collateral. A high value of collateral is required if you want to borrow a relatively large amount. Also, the interest rate of your secured loan depends on your collateral worth.You can avail low cost secured loan for a number of reasons like:•Home impro
Brazil is now energy independent from its use of ethanol in the form of alcohol. Ethanol is derived from sugar. This has brought a great increase in the number of speculators and commercial hedgers trading in sugar futures and options. The volatility and liquidity generated is a positive by-product.
Sugar trades for only three hours a day, from 9am-12pm. What a great life to be an expert sugar trader! It's a fifteen hour work week.
Sugar has made several extreme moves over the last thirty-five years. The last big move to 18 cents a pound was last year. In the early 1980's sugar hit 44 cents a pound. In the early 1970's sugar hit 66 cents!
On the other side, sugar once got as low as 2.5 cents a pound. The whole 112,000 pound contract was worth only $2800! You could have taken delivery and warehoused it for a few years and sold it for 15 cents a pound or $16,800. (Or just kept rolling the contracts forward with no delivery) That's not a bad profit if you believed sugar was not going to be free. Multiply this times ten contracts and you are looking at over $160,000 on a $30,000 investment. There certainly is opportunity if one is willing to take on the risk.
During normal or quiet markets, options on sugar futures are usually cheap and you can buy a lot of time. Strategies are abundant for spreads, straddles, and strangles. Sugar makes lots of lon
We all have a common set of expectations from certain industries we do business with that we won’t compromise if those expectations aren’t met. We expect to hear a dial tone when we pick up the telephone when no one else is using it. We expect our cars to start in the morning when we get ready to leave for work. It’s implied that a restaurant will prepare our food properly and follow satisfactory sanitary guidelines. If we pay our electric bill on time, we expect the lights to work when we flip the switch. Same goes for the water bill—we expect water when the faucet or shower is “started.” These are expectations set, in part, by the industries providing the service, but they are also engrained in our culture as things to gripe about quickly should th
Sugar has made several extreme moves over the last thirty-five years. The last big move to 18 cents a pound was last year. In the early 1980's sugar hit 44 cents a pound. In the early 1970's sugar hit 66 cents!
On the other side, sugar once got as low as 2.5 cents a pound. The whole 112,000 pound contract was worth only $2800! You could have taken delivery and warehoused it for a few years and sold it for 15 cents a pound or $16,800. (Or just kept rolling the contracts forward with no delivery) That's not a bad profit if you believed sugar was not going to be free. Multiply this times ten contracts and you are looking at over $160,000 on a $30,000 investment. There certainly is opportunity if one is willing to take on the risk.
During normal or quiet markets, options on sugar futures are usually cheap and you can buy a lot of time. Strategies are abundant for spreads, straddles, and strangles. Sugar makes lots of lon
Local businesses are often the best places to sell your original arts and crafts. If your goal is gallery representation, local sales can build your reputation, and fill in your resume. In addition, income from local sales can exceed what you earn with some galleries.JOIN REGIONAL ART ASSOCIATIONSMost communities have an art association of some kind. You'll find them listed in the yellow pages of your local phone book, and sometimes online. Look in categories such as "Clubs", "Associations", and so on.These groups are usually a mix of professionals and eager amateurs. At their meetings, I've seen everything from gorgeous, $10K watercolors to crocheted dolls in unnatural colors & fibers. No two groups are the same. Visit as a guest before joi
During normal or quiet markets, options on sugar futures are usually cheap and you can buy a lot of time. Strategies are abundant for spreads, straddles, and strangles. Sugar makes lots of lon
It is a simple truth. Yet while many of the biggest players on the web know it, most webmasters overlook the fact that customer reviews can provide for a source of constantly updated content that potential customers would find to be an invaluable source of information.It is also true that by simply combining customer reviews with RSS feeds, you too can ride a new wave of shopping (or social) traffic.Traffic! It is the one problem that webmasters continually face, and which can NEVER be fully solved. How to find visitors in a reliable, repeatable, and cost-effective way. Because without visitors all your beautiful content might as well be locked away in a vault--no one is ever going to see it. If the purpose of your site is to sell, you will sell noth
During normal or quiet markets, options on sugar futures are usually cheap and you can buy a lot of time. Strategies are abundant for spreads, straddles, and strangles. Sugar makes lots of long-term patterns and formations. Wave analysis and swing trading works well for sugar when it's trending.
Some traders look for the possibility of "pyramiding" contracts when sugar is active. This is a risky technique used when the market is in an extended trend. A trader tries to keep adding futures positions using previous profits. Don’t ever forget this is a double edge sword. If you add to positions, make sure to adjust catastrophic stops so that your losses are not out of control if the market reverses. If the market stops you out and moves in the other direction, don’t be afraid to get back in if the trend is still intact. Sugar trends can last a lot longer then most expect.
Look to exit positions after big moves during the morning opening or near the close. Sugar futures tend to reverse after very large moves by gapping open the following day. Try not to keep big profits over the weekend thinking Monday morning will have a big follow through. You may want to lighten up on Friday right before the close.
If you feel nervous about holding onto big profits, my best advice and rule of thumb is to keep one-half of your position and sell one-half. This way you can never be more than one-half wrong, and one-half right. This is a form of "scaling out", which is a favorite technique of mine. Besides, after a climatic move the option prices are usually very inflated. The option premiums may actually decl
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