This is the March 2020 Monthly Recap of the Trade Spotlight: Options advisory segment.
Open Positions
Cocoa Call Option
Long the July 2020 Cocoa 2450 call from 50 points or $500 (3/26/20). Option settled at 56 points. Marked-to-market profit of $560. ADD.
On a Double Bottom Formation setup purchased a call option in the Cocoa market. Since entering the position the July 2020 contract has traded sideways. The trend is near shifting to an uptrend. The momentum is already up. Anticipating a breakout and a shift in trend if futures trades above 2300, a potential resistance level. The upside target is the 50% Fibonacci Retracement of the massive sell-off during the Coronavirus pandemic (2570). The price alert to liquidate the position is if the contract closes below the twelve-month contract low (2201). Option expiration is June 5, 2020.
Silver Bull Call Spread
Long the May 2020 Silver 19.00 / 19.50 call spread from 10.0 points (2/19/20). Spread settled at 2.9 points. Marked-to-market loss of $355. HOLD.
The May 2020 Silver futures contract traded above the 19.000 price level just five days into entering the position. The target is the twelve-month contract high of 19.940 (9/4/19). The Silver market joined the rest of the commodities however in a tremendous sell-off due to the Coronavirus pandemic. Traditionally in times of distress, capital tends to flows into the physical, futures, and commodity option metal markets. The position was held for that reason. The price alert was triggered, but the value of the spread evaporated. Silver futures are now rallying though the issue with the position may be time, option expiration is April 27, 2020.
Closed Positions
None.

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Risk Disclosure
THIS MATERIAL IS CONVEYED AS A SOLICITATION FOR ENTERING INTO A DERIVATIVES TRANSACTION.
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