After Friday's selloff, what are us little guys to do? If we learned anything from last year, it's not to try and get in on shorting the market while the worry continues since we usually don't have the time to sit in front of strategy desk all day and catching intraday or week corrections. However, we know the Greece issues caused the market concern but still continued its rally after it quieted down. If we stuck to trading outer-month options verses front-months we would done much better last year than we did. So, I am taking advantage of the pullbacks but being cautious with quantities this time as there is potential for a good correction this time. However if you are already "all-in" with your account, either hang on or double down on significant pull back but don't sell yourself short this time.
Cotton futures will probably spike since Egypt is a major exporter and as we all know oil is to be little affected directly, however if ships can't get it out of the Suez canal then you pretty much have the same effect of not being able to produce oil!
Happy Trading...
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