March 12, 2019

I am going to repeat several statements I wrote 7 days ago…

I don’t think I have EVER seen farmers, farm advisors, analysts and speculators as universally negative as they all now are regarding any of the four major USA row crops…Corn, Wheat, Soybeans and Cotton…

I THINK WE ARE AT THE LOWEST AG PRICES THAT WE WILL SEE FOR DECADES.

I continue to STRONGLY recommend buying all four of these  markets…Right here. Right now.

 I don’t care if you use the 2 & 1 (which is smart)…or if you just Buy Calls…or if you want to Buy Futures…I just think you decide what you want to spend…define your risk…And GET SOMETHING BOUGHT IN EACH OF THESE FOUR MARKETS…NOW, WHILE THEY ARE ALL STILL MORE OR LESS SIDEWAYS OR ON THEIR LOWS…

The cheapest way to do it is to simply buy calls in all four…meaning that if Corn, Cotton, Soybeans and Wheat ALL go sideways or lower, you could lose 100% of what you have invested…But as a function of simple math, if only ONE of them makes a bull move…while the other three just die…my guess is you’ll still come out with a profit…

And IF ALL FOUR GO UP? Well…here are the numbers on the charts following. THIS STUFF IS ALWAYS MORE ABOUT THE NUMBERS THAN ANYTHING ELSE….So what I’d suggest you do is take the time to “study” each market a little…and then do the math as to the risks…and the potential profits…for yourself.

First thing to know is…Use the following long term charts to determine what could be considered typical price movement for each of these markets…

So…$4-$5 swings mean $20,000-$25,000 per futures contract….

$1.50-$2.00 swings mean $7500-$10,000 per futures contract

$3-$4 swings mean $15,000-$20,000 per futures contract

And 20-40 cent swings mean $10,000-$20,000 per futures contract…

OK…So I’m not sitting here predicting that all four of these markets are going to max out on the upside…but I do FIRMLY believe that all four of them WILL make some sort of substantial move on the upside within the next 3-4 months.

 Here are some specific option prices and possibilities…

More math….

Buying all four would cost $5430. If I am wrong about all of this, you could lose everything you have spent.

If I am right about just one of them, I think your very worst case is to break even.

These markets DO have a tendency to move somewhat in unison…and I DO think I am going to be right…on all of them…

I mean, really, all of these markets ARE in the hole…and every single one of these markets does have record world demand…and NONE of the moves I see as possibilities are even close to what I would call BIG for these markets…And as always, I might be dead, dead wrong, but I would then offer that turning 5K into 20-25K is NOT just a pie-in-the-sky idea…

One more time…

I don’t think I have EVER seen farmers, farm advisors, analysts and speculators as universally negative as they all now are regarding any of the four major USA row crops…Corn, Wheat, Soybeans and Cotton…

I THINK WE ARE AT THE LOWEST AG PRICES THAT WE WILL SEE FOR DECADES.

I continue to STRONGLY recommend buying all four of these  markets…Right here. Right now.

Call if you want to talk about it…

Thanks,

Bill

866-578-1001

770-425-7241

All option prices in this newsletter include all fees and commissions.

The author of this piece currently trades for his own account and has a financial interest in the following derivative products mentioned within: Corn, Wheat, Soybeans, Cotton