This is part of what I just received from my broker and as you can see he is still Bullish on hogs! My position is one of a Bear but I may get swept away, like a Flood!!

July hogs traded lower each day and allowed us to purchase additional 130 calls. Got a slug early today at 100 points. They settled at 125. As June touched 120 we liquidated a few more positions. What a move, what nice run it’s been. Product is now starting to get a little expensive. Beef is definitely getting expensive. The seasonal high timing is about one week out. We added some hedges in the Oct options today for the second consecutive day. The hog & pig is out in three weeks and it should be bullish. I was a bit surprised at the sluggish weekly export numbers for last week. The beef export numbers were very slow. Over the next couple of weeks is the time of year that meat demand tends to peak. This year might have a much longer tail as we’re riding the wave of pent-up demand created by COVID and shelter in place.

A move to 13000 in the July hogs will likely about do it. Numbers are going to be tight, weights dropping, disease a problem. However, as demand peaks the product will correct and this market will cool off. It may simply be a correction before moving higher during the fall winter timeframe. There will be breaks to buy. Right or wrong, these elevated price levels will continue to attract large hedging. We just missed getting some Jun 116 calls sold at 430 points. I saw them trading at 410. Perhaps we’ll get them filled on Monday. Stay tuned as we clean up the profits going into Jun expiration.