Question on the spread trade for corn Support for strategies module

[jeffsturgeon53]

There is a trade up that calls for buying 1 ZCH21; buying 2 ZCK21 and finally buying 1 ZCN21 on 4/17/2020 and exiting on 5/3/2020. So is this for all four contracts? I see that it also has a term (FND/LTD) so what does that mean?

Thank you very much for your help.

Jeff Sturgeon

jeffsturgeon53@yahoo.com

[Roman]

I think you got it wrong, it seems like butterfly where you buy 1 ZCH21 sell 2 ZCK21 and buy 1 ZCN21. And yes, you open such a trade with all legs together. FND/LTD is described in help:

FND/LTD Date
This line in the chart is a warning about the approaching expiration. It's either FND (first notice day) or LTD (last trading day) whichever comes first. Be very careful when opening trade near this line, volatility is rising, liquidy fades away, and the bid/ask spread is widening. Only those who want to trade real commodities are holding positions, and closing your position can be very costly. Always check FND/LTD dates with your broker and the possibility of holding your position over these dates (every broker can have different conditions).