Afternoon Bean Option Recap- 10/07/2014

I don’t like trying to pick price levels and project price destinations because there are many factors which can alter a move.  However, a flat price trader had some very definitive points to trade the past few sessions.  We had a grossly oversold market with record shorts and last Friday had our first weekly close higher since July.  This was certainly a point for a bottom picker to get long.  SX then rallied 50 cents over two sessions on nothing fundamental other than a massive squeeze on those shorts. There was nothing in the way of driving this market up until we got to the 9/19-9/22 gap of SX 954.75-956 and SF 963-964.25.  The market then capitulated its rally directly in the middle of both of those gaps and failed… a technician’s dream move.  As was discussed yesterday I don’t believe there is much upside risk from there.  It was a good place to initiate put positions.  If we stay below that level before the report I would not be surprised if that high remains intact for a while.  SX vol 26.25 up .75, SZ vol 22.25 down .25, SF vol 20.75 unch, SH vol 20.5 unch.

 

Straddles

SX 940 43-44

SZ 940 60-61

SF 940 74-75

SH 960 94-95

 

Goldenberg Sold 200 Nov 1040/940 Put spds 80.25-80.5 credit

JPMorgan Bot 250 Jan 1060 Calls 6

JP Morgan Bot 500 March 1160 calls 4.5

FI Sold 750 Nov 880 Puts 4.75-5

Obrien Sold 200 Nov 910 Puts/ Sold 200 Nov 970 Calls 20.375

TJM Bot 200 Nov 960 Calls 13.5/ Sold 72 Nov futures 941

TJM Bot 200 Nov 960 Calls 18.875/ Sold 96 Nov futures 952

Macquarie Sold 200 Nov 960 Calls 12.25/ Bot 72 Nov futures 938

Marex Sold 750 Jul 960 Calls 65.75/ Bot 432 Jul futures 966

DRAX Bot 2000 Jan 1000 Calls/ Sold 2000 Nov 980 Calls 9.25 db/ Sold 580 Jan futures 945/ Bot 420 Nov futures 936.5

Rosenthal Bot 400 Nov 920/890 Put spds 7.25 db

ADM Bot 1000 Jan 870/800 Puts spds 7.5 db

Rand Bot 2000 Nov 950 Straddles 44-46.5

Obrien Sold 200 Jan 1000 Calls 20

UBS Bot 1000 Nov 850 Puts 1.75

ADM Sold 200 Nov 960 Calls 19.75-20

Obrien Bot 200 Nov 930/900 Put spds 8.25 db

Marex Sold 745 Jul 960 Puts 54/ Sold 313 Jul futures 980

ABN Sold 300 Jan 1000 Calls 19.375-19.5/ Bot 99 Jan futures 956

Bunge Sold 4000 Jul 940/920 Put spds 7.25-7.375 credit

ABN Bot 300 Jan 1000 Calls 21/ Sold 100 Jan futures 960

ADM Sold 500 Nov 1000 Puts 54-55

ADM Bot 500 Nov 890 Puts 5.25

Rosenthal Bot 200 Nov 930/880 Put spds 11 db

ICAP Bot 500 Nov 930 Puts/ Sold 1000 Nov 900 Puts 1 db

Obrien Bot 200 Nov 920/880 Put spds 8.25 db

Obrien Sold 1500 Jan 960/900 Put spds 22.25 credit/ Sold 375 Jan futures 954

Rosenthal bot 500 March 900/800 Put spds/ Sold 500 March 1000 Calls 13.5 credit/ Bot 290 March futures 962

DRAX Sold 400 Nov 930 Calls/ Bot 1200 Nov 1000 Calls 15.5 credit/ Bot 56 Nov futures 946

FI Sold 500 Jan 860 Puts 10/ Sold 80 Jan futures 950

Rosenthal Sold 2000 Nov 880 Puts 4.5-.625

Rosenthal Sold 1500 Nov 920 Puts 13.25-13.5

 

Jon Karmin (JSK)/Jeff Pogonitz (POG) Brokerage

 

Data source: Jon Karmin and Jeff Pogonitz bean option brokers