Sugar - Look Out Below!

Sugar broke upward trendline support on Tuesday and then formed an ugly red candle below the trendline today. Sugar is in a seasonably weak period, so I expect to see further declines from here. To trade this, I suggest a short Sugar (N20-V20) calendar spread. This trade has hypothetically profited in 14 of the last 15 years when sold on 2/27 and bought on 3/28. The average profit to drawdown ratio is very strong at 138% providing an excellent risk to reward scenario. On Thursday, I will be selling the Sugar (N20-V20) calendar spread at a limit of ($0.07).