Exercising Our Copper Option And Going Long

We have been long High Grade Copper futures since April 24 (see our Copper posts here: InstantCommodityTrader.com/blog/category/copper) and our 310 strike price Call option for the July 2014 contract month expired on 6/25 (yesterday) at which time we exercised our option and are now long High Grade Copper futures from 310.

We  put in a stop-loss order to our broker to sell our contact at 309 if prices fall below the support level of 3.0985 (see Daily chart below).  Since we are long from 310, we would only lose $250 if prices go that low (in addition to the premium we paid for the 310 Call option back in April).  If prices continue rising, we will gradually move our stop-loss up to lock in profits.

Daily High Grade Copper Chart - July 2014

Posted in Copper and tagged , , , , , , , , .

Leave a Reply

Your email address will not be published. Required fields are marked *