Bonds are making a new high and rates are making a new low,
however this was expected because the charts looked like a 5th wave
move was needed, see the TNX 10 year yield chart. Once the
5th wave move is over, I will be looking at TYO and TBT as swing
trades.
NoteI also added
TBT chartto the chart pictures below, but I forgot
to include it in the video below
imho, you only need the FED to be buying bonds for the price to
continue to rise (yields fall) commonly known as QE2, coming to a
bond market near you...
Interest Rates/Bonds, trade to stalk
Posted by matt on 6th of Oct 2010 at 11:16 am
Bonds are making a new high and rates are making a new low, however this was expected because the charts looked like a 5th wave move was needed, see the TNX 10 year yield chart. Once the 5th wave move is over, I will be looking at TYO and TBT as swing trades.
NoteI also added TBT chartto the chart pictures below, but I forgot to include it in the video below
here's a quick video of what I mean.
http://breakpointtrades.com/jing/2010-10-06_1014.swf
I added the TYO and
Posted by matt on 6th of Oct 2010 at 11:34 am
I added the TYO and TBT chats to the Trade Ideas pull down list, I will add them to the watchlist later on
Hi Matt, what is the fundamental relation between bonds and US Dollar?
Posted by harshblue on 6th of Oct 2010 at 12:01 pm
Currently both are inverse, right? Thanks.
generally Bonds have been trading
Posted by matt on 6th of Oct 2010 at 12:08 pm
generally Bonds have been trading inverse to the Dollar while rates have been trading relative to the dollar, it's not perfect and deviates at times
I was assuming for bonds
Posted by harshblue on 6th of Oct 2010 at 01:37 pm
I was assuming for bonds to increase, you need US dollars to buy them which should also increase USD. Any flaws in that argument?
imho, you only need the
Posted by hazbin1 on 6th of Oct 2010 at 02:34 pm
imho, you only need the FED to be buying bonds for the price to continue to rise (yields fall) commonly known as QE2, coming to a bond market near you...
yeah for now, until that
Posted by matt on 6th of Oct 2010 at 02:35 pm
yeah for now, until that trade get's too easy and then it will reverse.
bet we see below 2%
Posted by hazbin1 on 6th of Oct 2010 at 02:44 pm
bet we see below 2% 10yr seen before hitting 3% again.