Coffee Traders' Forum - A Discussion about Coffee Futures Trading


Coffee Traders Discussion Forum

Coffee Traders' Forum

OI/Market/Volatility *PIC*

Options expiration were a factor. Hedges prior to Friday were considered new positions. Friday’s exercises for those options are now considered as liquidating, reflecting a negative change in the OI. At the same time, hedges put on n Friday and 120.00 exercises are flat to the OI. Whatever, the OI is up and likely not related to option expiration. Spreads may be a new factor but nevertheless there was new outright selling by funds and new buying by probably commercials. There have been several pockets of stops, first below 119.00 and then below 118.50. And so, the systems selling and longs getting stop out don’t add up to a constructive environment, in spite of the many bids present. The $ continues to be weakand USDBRL is 3.5946 -.0045 as the Real attempts to rally with little success.

KC AM Straddles: (N 11825)
{{N 117.5 strd 440/460,}} 17.3% unch
{{Q 120 strd 700/725}}, 18% -0.3%
{{U 120 strd 910/940}}, 19.35% -0.4%
{{Z 125 strd 1470/1510}}, 21.3% -0.25%
{{H 127.5 strd 1870/1920}}, 21.85% -0.15%