Have any of you had any fun with this sugar market yet. If not hold on the real fun is about to begin. After hitting the 9.18 level just to find lots of sellers, the market has sold back off to the 8.40 area.
Well it looks like I jumped a little early in the sugar. I bought the Oct contract today at 8.04 after seeing the July hold the 7.56 level, at least for a while. This market may have more to go on the down side, so I'll wait to add to my position. Such is the life of a trader. :)
I saw the opportunity to get out of my cotton spread and I took it selling the July @ 73.25 and buying the Dec @ 74.2 it was a long but profitable trade. I'm watching sugar for a nice entry point, which may happen fairly soon.
Most of you must have thought that I had fallen off the face of the Earth. No, just watching the cotton trade go way against me and now finally to come back after all this time. Since it took so long to get to here I don't think that I'll be adding to the position rather I might liquidate it in the next couple of days at a small profit. It happens this way in trading quite often. Patience pays off in the long run. To be honest with everyone I did add to this position along the way and have been selling the July/Dec spreads. The reason I did list them here is the cotton market like most NY markets can be brutal trying to enter or exit, so, in case some traders had bad entries, I didn't want them to add to their problems by adding positions.
The next market I'm looking at is sugar, which is another NY market and has been the most costly for me over the years. At the current multi year lows the market looks interesting. But!!! just because it low doesn't mean it can't go alot lower first. I'm want to see if this market can test the 7.56 level. That would be a nice entry point or some where in that area. I'll be watching it the next few days for any clues. The thing I fear that may happen first is a large up move on June 1, 1998. If it does I may take the ride and jump in at the 9.00 level for Oct contract.
I bought in the Cotton on 3/20/98 going long the July @ 70.65 and short the December @73.71 I have a target of 2.6 cents to the sell side, then I might add at that point.
I missed the mark in sugar and got out on the 16th @ 9.51 for a small gain. Oh well I'll never go broke making a small profit, althouth I'll never get rich making such a small profit.
Cotton is begining to catch my attention, I'll be looking for a good entry point on the long side or a nice spread might work too.
Well I got my fill on the open of the sugar market @ 9.42 for the May Sugar, its been the Hi of the day. We'll wait and see what happens. Today I'll be placing a stop loss on the sugar @ 9.08
Got stopped out of my long Crude Oil on 3/9/98 @ 15.47 for a $692.00 loss including commission of $22. This market is still weak except I'm still looking for a place to go long again. With so many traders short a nice surprise could rally this market fast. Just hope I'm there.
I'll be going long the May sugar on the open, 3/11/98 looking for it to rally back to the 10 cent area.
Long June Crude Oil 16.14
Stop 15.50
Thanks
Mark Harris
