Commodity Blog
Jan 31 2025
Unlock Smarter Options Trading with the New Options Strategy Builder in cmdtyView Pro
Looking for a more intuitive way to trade and analyze options? The newly launched Options Strategy Builder in cmdtyView Pro lets you structure, test, and optimize your options strategies—all within a powerful, integrated platform. Whether you're a seasoned trader fine-tuning complex positions or a newcomer exploring strategies, this cutting-edge tool delivers the insights and flexibility needed to navigate the options market with confidence.
Here’s how the Options Strategy Builder can revolutionize the way you trade…
✅ 24 Pre-Set Options Strategies – Easily select from various commonly used strategies, including bull/bear spreads, straddles, butterflies, and more.
✅ Custom Strategy Builder – Modify existing strategies or create your own tailored approach to fit your market outlook and risk tolerance.
✅ P&L Visualization – Gain a clear understanding of potential profit and loss outcomes before executing a trade, helping you make more confident decisions.
✅ Real-Time Market Data – Access accurate and timely data across 28 global futures exchanges, ensuring you always have the latest insights at your fingertips.
✅ Choice of Pricing Models – Utilize Black or Black-Scholes models for precise option valuations, enhancing your ability to assess pricing and risk.
Want to see it in action? Here are some potential use cases…
Corn is Trending Higher
- The U.S. corn market is facing a tightening supply and demand balance:
- WASDE sharply cut yield expectations.
- Export sales started stronger than expected.
- Record ethanol production is supporting demand.
Stocks-to-use ratio is forecasted to decline year over year.
Traders are Very Long on Corn
- CFTC Commitment of Traders Report: Non-commercial net long positions at a 2.5-year high.
- Commercial short positions are also at a 2.5-year high.
- Barchart U.S. Corn Basis Index at a 10-year low, indicating weakening demand.
US Corn Basis is Weak
Barchart US Corn Basis Index
- 10-year low in US Basis Index (lowest in our series history)
- Index declining from average since early December
- Indicates weakening demand
Hypothetical Trade: Fade the rally
- If you think there is limited upside from here
- But, you don’t want to directly sell the rally
- Use Options!
Options Strategy Builder, Test various structures
Buy a Put
- Simple
- A little expensive with elevated implied volatility
- Tough to pick a strike
Sell a Call Spread
- You are in the money
- Larger potential loss
- Less upside
Whether you're managing risk, seizing opportunities in volatile markets, or exploring new trading strategies, cmdtyView Pro equips you with the insights and tools needed to trade and analyze with confidence.
Ready to take your options trading to the next level? Start your free trial of cmdtyView Pro today! For more information on the Options Strategy Builder, contact our team at commodities@barchart.com.
Barchart Updates