HEN20-HEQ20 is about to explode

12 de jun. de 2020

Finally i have found the correct spread to trade Lean Hogs bull spread. This seems much stronger than others and is closer to the market, which usually means bet on stronger demand in the near future. From the 15 years of history, the spread is usually trading around 2 points. There is a good potential to get to those levels again soon.

12 de jun. de 2020

Nota

On the chart you can see divergence between the spread and the future. Even if the future is going down, the spread is going up, which usually shows the strong demand.

15 de jun. de 2020

Nota

%R is around -70, which is a good sign for this spread. I am also buying another one, which is more agresive. HEN20-HEZ20 but the potential is about 12 points, which is 4 800$ per spread. However it is riskier, so i will just share this "smaller" trade.