In the futures industry since 1996, Matt Johnson got his start working with retail clients at Lind Waldock and Man Financial. In 2000 he established Cytrade Futures Inc. which later became Cytrade Financial, L.L.C., and independent introducing broker registered with the CFTC and NFA member. Matt manages the firm and offers his brokers and clients trading suggestions primarily using futures options.

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December Euro Currency

While in the long term I am still bearish the US Dollar, I believe its recent decline was far too fast, far too quickly. In the December Euro Currency options, I like an ECZ7 140/138 put spread for approximately $600 with an almost 4:1 risk reward ratio. I also like a simple long ECZ7 138 put for approximately $400 as this slide in the Euro may have some legs.

December Crude Oil

The strengthening US Dollar and lower seasonal demand should prove heavy on the crude market in the short term. Money can be made on the short side of crude these days, but the key is to not overstay your welcome. In the December Crude options, I like a CLZ7 78/74 put spread for approximately $1100. Those willing to take a little more risk might try some November puts with a CLX7 78 put going for approximately $700 or a 77 put for $500.

December Wheat

Is the party over in the wheat for awhile, or is this simply a breather before even higher highs? Those who are a little gutsy, I like a simple long WZ7 800 put for approximately $750. With 19 days to go until expiration, November wheat options could offer some opportunities. Pricing options so close to expiration in such a volatile market is extremely difficult, and traders can use this to their advantage. Look at a November 850 put for approximately $750.

December E-Mini S&P 500

The short term memory of the market prevails for now, but I think a healthy pullback could be in the near future. October options in the E-Mini S&P have 12 days to go until expiration which is a long time in these market conditions. Simple long puts could pay off handsomely, and are a relatively cheap way of getting short with limited risk. An ESV7 1550 put is approximately $600.

November Soybeans

Similar story to the wheat in my opinion, for a shorter term trade, look at the November options, SX7 920 put for approximately $650, SX7 910 put $500 or a SX7 900 put for $400. Those looking for a longer term trade, I like the following in the January bean options: an SF8 920/860 put spread for approximately $900 with a $3000 gross potential.