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Our trading strategy is primarily based on the fundamental analysis of the supply and demand factors that affect both the futures and the cash price of corn, soybeans, soybean products, wheat, and oats.
 
We recommend customers take positions in futures when the fundamental analysis indicates a significant price move may occur. The size of these positions are governed by the risk/reward potential and the volatility of the market at the time. The futures positions are taken when we believe a trend is developing, and the positions are increased or decreased depending on the development of factors over time. Our trading strategy is to trade with the trend until we believe the underlying fundamentals of a particular price move have been satisfied. Although our trading strategy is based on fundamental analysis, we use various technical indicators to indicate entry and exit points.

In addition to futures positions, we look for opportunities to establish positions in options on agricultural futures in anticipation of a price move. Because the risk of buying puts and calls is known, we may establish a larger position in options than in futures.  

Our trading also focuses on the trading of spreads, both intra-commodity and inter-market. We attempt to predict the changing price relationships between various delivery months, based upon fundamental factors such as production, storage space, price level, demand, transportation, government programs, interest rates, etc. We trade spreads in a larger volume than would be normally associated with outright futures or options trades because of the relative small price move between delivery months.

Our company trades on the Chicago Board of Trade, the Kansas City Board of Trade, and the Minneapolis Grain Exchange.