This is a J-MAS recommendation spin off Jubinville’s relatively Bearish position on Beans and our concurrence that Canola has done most of the dropping it’s going to do. There remains another 50-75c of downside potential before a bounce but Beans are flirting with trendline support and have room to fall much more quickly than Canola and well placed Puts could add $1-1.50 to our Canola price and our Hold could add another 75c once liquidated in a better environment.
By buying Puts instead of Selling Calls we have a limited risk if Beans do go higher on a South American weather rally while Canola should appreciate in our bins into 2015.
Sent from my J-MAS iPad
> Only advantage to Orion is size but it only matches Frontier in yield and lost to Leader 4 of last 5 years. Poor Orion disease package compared to both Leader and Frontier and Leader has the earlier maturity rating. >
> We will pencil more in rotation Rater to see how the size offsets some of those problems but we like Leader at this point. >
> Green Star should displace Greenland. Match Maxim (Red) yield and 10% better than Greenland with only Fair Anthractnose rating – rest are poor to very poor.
> Has south Saskatchewan actually pegged to receive a little more moisture than rest of prairies during summer. All 18 year cycle estimates so a little suspect.
Soybeans will start to displace the Wheat and Pulse acre. We should start to dabble as could see them as 15-20% of our rotation in 3-5 years.