Bean Option Recap From Jon Karmin2/20/15

Beans saw open interest in the SH $10 strike and took aim at it and hovered around it all day.  This could have been one of the most whip saw weeks I’ve seen in quite some time.  Just when the market looked bad we rally and then as we looked to break out higher the market falls apart…and this happened several times.  Additionally, beans failed off its 50 and 100 MA.  We closed weak and SN/SX also closed weak .  There will be more opportunities over the next month to prepare for a move after planting intentions but you must be ready and nimble or it will slip away.  SJ vol is 2.5% under SK vol which basically tells me the market does not expect a move before SJ goes off before the report….or this may be an opportunity if there is a move.    In past years it has been as much as 4% over at this time.

Bean vols:

April vol 17 ¼, down a ¼

May vol 20, unchanged

July vol 20 ¾, unchanged

Nov vol 19 ¾, unchanged

Bean straddles:

April 1000 str 42 ½-43 ½

May 1000 str 66-67 ½

July 1000 str 97-99

Nov 980 str 126-128

 

Bean players:

FI Sold 500 March 1010 Puts 6-6.25

ADM Bot 500 Nov 900 Puts 28.75/ Bot 135 Nov futures 985

ADM Sold 200 May 900 Puts 4.5-4.625

ABN Bot 500 July 920 Puts/ Sold 400 July 1100 Calls 14-15 db

EDF Sold 200 May 1000 Puts 32

Marex Bot 400 April 1020 Calls/ Sold 400 April 980 Puts 2.5 db

Jefferies Sold 500 Nov 1000 Calls 54

Rosenthal Bot 1000 April 1000 Puts 19.25-20

Rosenthal Bot 750 April 1000 Puts/ Sold 750 March 1010 Puts 10-10.75 db

TJM Bot 300 May 1040 Straddles/ Sold 300 May 1000 Straddles 7 db

FI Bot 300 May 1040 Straddles/ Sold 300 May 1000 Straddles

Jefferies Bot 300 March 1000 Puts 1.5

ICAP Bot 250 May 900 Puts 4.875

FI Bot 200 March 1000 Calls 1.125

Rand Bot 500 May 1040/940 Put spds 43.75-44.5 db

Rosenthal Bot 300 WK4 1000 Straddles 20.5-21 db

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

Data source: Jon Karmin and Jeff Pogonitz bean option brokers