TRADING COMMODITY FUTURES AND OPTIONS INVOLVES SUBSTANTIAL RISK OF LOSS AND IS NOT SUITABLE FOR ALL INVESTORS. YOU SHOULD CAREFULLY CONSIDER WHETHER TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR CIRCUMSTANCES, KNOWLEDGE AND FINANCIAL RESOURCES. 

OPTIONS PLAY: NYMEX CRUDE OIL FUTURES IN A RANGE

Once again, NYMEX CRUDE OIL FUTURES continue to trade in a consolidated range.

MY ANALYSIS 

Fundamentally, with mixed news in the NYMEX CRUDE OIL FUTURES market, CRUDE prices continue to falter at around the $100/barrel mark. The EIA reported a n unexpected draw in supplies of CRUDE OIL this week of 3.7 million barrels. Analysts, according to HIGHTOWER reports were expecting a 2 million barrel build. Other factors moving the market in my opinion, are the situations in Greece and of course, Iran.

Technically, in my opinion, I see NYMEX CRUDE OIL FUTURES trading in a tight consolidated trading range which is indicated to me by the BOLLINGER BANDS and the 9 and 20 day SIMPLE MOVING AVERAGES pretty much moving horizontal with neither pointing up or down. See the daily chart below.

Additional charts, studies, and commentary can be found at http://markethead.com/2.0/free_trial.asp?rid=McKinney

OPTIONS PLAY

SELL OUT OF THE MONEY CALLS OR CALL SPREADS OR PUTS OR PUT SPREADS.

When buying puts or put preads we also look to buy, in a 3 to 1 ratio, a call for protection in case the market makes a MAJOR move against us.

EMAIL ME FOR SPECIFICS ON STRIKES, MONTHS, PREMIUM, AND RISK.

FOR OUR FREE REPORT ON THE VARIOUS CRUDE OIL CONTRACTS: http://www.zaner.com/3.0/mmckWTI.asp

FREE QUOTE- "Live and let live." -Bill W

Before you place any of these trades in your account you should call or email me with your phone number for a detailed explanation of the strategies and the risks involved at 312-277-0115 or  mmckinney@zaner.com. 

For past trade ideas go to: http://mmckinneyfutures.com/  

Futures, options and forex trading is speculative in nature and involves substantial risk of loss. All known news and events have already been factored into the price of the underlying commodities discussed. The limited risk characteristic of options refers to long options only; and refers to the amount of the loss, which is defined as premium paid on the option(s) plus commissions.

FOR CUSTOMERS TRADING OPTIONS, THESE FUTURES CHARTS ARE PRESENTED FOR INFORMATIONAL PURPOSES ONLY. THEY ARE INTENDED TO SHOW HOW INVESTING IN OPTIONS CAN DEPEND ON THE UNDERLYING FUTURES PRICES; SPECIFICALLY, WHETHER OR NOT AN OPTION PURCHASER IS BUYING AN IN-THE-MONEY, AT-THE-MONEY, OR OUT-OF-THE-MONEY OPTION. FURTHERMORE, THE PURCHASER WILL BE ABLE TO DETERMINE WHETHER OR NOT TO EXERCISE HIS RIGHT ON AN OPTION DEPENDING ON HOW THE OPTION'S STRIKE PRICE COMPARES TO THE UNDERLYING FUTURE'S PRICE. THE FUTURES CHARTS ARE NOT INTENDED TO IMPLY THAT OPTION PRICES MOVE IN TANDEM WITH FUTURES PRICES. IN FACT, OPTION PRICES MAY ONLY MOVE A LITTLE. These indicators are all moving pretty much horizontal, with none of them