DBA agricultural commodities.....can they get much cheaper?

I bought a call vertical today in an agricultural E.T.F. as a way to get a cheap hedge. Assuming if inflation rises or supply gets disrupted for some unknown reason. I am a little unclear of the cost to carry of the futures that it holds and was unable to write cash secured puts in my Fidelity SDA as I was told it was structured as an M.L.P. (master limited partnership) So I paid 1.32 for the 17/20 call vertical out to January 2020, as there was no other way to get long this name without tying up too much money and I.V.R. was low (24ish %) Not sure I needed to go out that far but moves really slow and is not a product I am very familiar with so staying small. SosGrande did trade some through the Bob the Trader app so I am hoping this would be a good entry and I have plenty of time. Dollar strength seems to be weighing heavily on this as well......but I will now be more interested in watching what tends to move these products as I have money on the table. Wish me luck.

Komentarz:

This trade has gone literally nowhere fast.....still way out in time and even with markets selling off and a hint of inflation agricultural commodities are stagnant.

Komentarz:

Closed this trade out for a .21 cent loss. Man this thing was not much of a hedge. Moves like molasses on a cold winter day. Maybe if T and Xi hash things out this weekend it would recover but the strong USD is just crushing this trade and I am liquidating some positions to transfer funds into my Roth IRA.