Bean Option Recap From Jon Karmin 04/01/15

Beans continued to gain on corn as traders caught in this trade were unmercifully punished.  I see SK trading over $10 before we lose the last of the shorts.  I am looking to initiate a bear put trade at that point.  However, vol has been annihilated and it will be difficult to find anything with minimal risk to finance a trade at these vol levels.  Currently, I prefer to remain short the SN/SX futures spread as yesterday confirmed burdensome supplies and will weigh on this spread until the roll in early June.  I still maintain it will trade at a carry before all is said and done regardless of flat price futures.

 

Bean vols:

May vol 16 down 1 ½

June vol 16 ¾ down ¾

July vol 18 down ¾

Nov vol 19 ¼ down a ¼

 

Bean straddles:

May 990 str 31 ¾ -33

June 990 str 49-50 ½

July 990 str 69 ½ -71

Nov 980 str 110 ½ -112

 

Bean players:

Obrien Bot 250 June 1000 Calls 18

Obrien Sold 200 WK1  980 Puts 7

Obrien Bot 400 May 1020 Calls 3.75-4

Obrien Sold 400 WK1 980 Calls 3-4

DRAX Sold 300 May 970 Puts 13/ Sold 126 May futures 978

ABN Bot 300 Nov 900 Puts/ Sold 300 Nov 1100 Calls 15 db

JP Morgan Bot 1300 Sep 920/860 put spds 14.75-16.75 db

JP Morgan Bot 900 Jul 840 Puts 1.5-1.75

DRAX Sold 1500 May 970 Puts 10-13.5

DRAX Bot 1000 Jul 1020 Calls 19/ Sold 350 July futures 980.5

Rosenthal Bot 500 May 990/1020 Call spds 7 db

DRAX Bot 500 Jul 1040 Calls 13.875-14/ Sold 140 Jul futures 981

Rosenthal Bot 200 May 1020/1050 Call spds 3-4 db

ICAP Sold 250 Jul 990 Straddles 69

Obrien Sold 300 WK2 970 Straddles 24

FI Bot 400 May 1000 Calls 11.25/ Sold 144 May futures 988

Marex Bot 400 Jul 980 straddles 69.5/ Sold 56 Jul futures 992

DRAX Sold 800 May 970 Puts 8.25-8.375/ Sold 240 May futures 989

JP Morgan Sold 350 May 960/900 Puts spds 5.75 credit / Sold 87 May futures 987

Macquarie Bot 300 May 1000 Calls 11.75/ Sold 120 May futures 989

Macquarie Sold 300 May 960 Puts 5.25

Rosenthal Bot 700 May 1000 Calls 11.625/ Sold 280 May futures 989

FI Sold 500 May 950 Puts 3.125/ Sold 75 May futures 990-990.25

ABN Sold 1000 June 1010 Calls 16.875-17 / Bot 400 Jul futures 993

Obrien Bot 500 N/X CSO even Puts 1.75

 

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

 

Data source: Jon Karmin and Jeff Pogonitz bean option brokers