Monday, July 30, 2007

Commodity Update For July 30, 2007- Got Out of Sugar Trade!

Well, my October Sugar trade unfortunately, did not last very long, only one week to be exact.
On Friday, July 27, prices broke below support at 10.00 cents and so I decided to go ahead and liquidate my position since this major support level was broken. I liquidated at a price of 17 points. I had gotten in at 30 points so I had a loss of 13 points which equaled to $145.60. One point in sugar equals $11.20. I was figuring that if October Sugar went below the support at 10.00 cents, then, there was a good possibility that prices would decline further. Plus, this option expires on September 14 so the option could also start to decline in value due to time decay.

I still haven't give up on sugar though. I'm now looking at the March 2008 contract. I'll have more details to follow on what I'm looking for on this contract.

For a look at all of my completed trades, please go to http://www.mylearn2trade.com/.

No comments: