Al Kluis is no crop insurance agent, but crop insurance is very crucial to his historically successful three step risk management plan for farmers.
Pay particular attention to weather and crop size when watching the market.
With beans at these prices, soybean farming in Brazil is profitable. Farmers will continue to increase soybean acreage by taking land out of pasture and hay, and planting more soybeans.
This is not the 1980s, and Al Kluis isn't expecting a repeat of that time.
It's been a tough year for marketing, so our resident crop markets expert is helping you make informed decisions. Take advantage of his five suggested strategies and try avoiding the three mistakes he mentions.
Al Kluis shares his knowledge on the economic slump in China and what that will mean for farm prices and profits in the U.S.
Base your selling decisions on your farm profitability and do not worry about what you are reading on the Internet. The same people who wrote about $8 soybeans in June are now writing about $21 soybeans; they are likely to be wrong again.
If you learn to consistently get some of your crops priced ahead using this type of plan, the odds are very high that you will be better off than hoping for a summer rally or being forced to sell at harvest.
For soybeans use moving averages to help you know when to buy, sell, or hold.
Set price and time targets on your old and new crop.