Do you think we have a head and shoulders formation on the long bond here?...and if so and rates on the long bond sell off...how high can they go? 4.60%? 4.80%?
If that were the case, wonder what is likely to happen to housing, economy and stocks?
I got long TLT in a big way last week and am hurting also. I cut my position by 40% last week and took a loss. But, the remaining 60% has gotten worse this week. Today, may or may not be another bad day...lets see what nonfarm payrolls come out at.
But, over the next 2 to 3 weeks, I think it will heal. My cost is 97...so, I am not far away from that.
No auctions, Fed buying, swine flu?, Chrysler and GM shut downs could negatively impact economic data.
In any event, if it goes down further, I will keep selling covered calls at 2% per pop, until I get to break even. After all if TLT keeps selling off, what happens to the housing market and the recovery
Bond Expert: Friday Wrap [View article]
If that were the case, wonder what is likely to happen to housing, economy and stocks?
Treacherous Thursday - A Bull Trap [View article]
But, over the next 2 to 3 weeks, I think it will heal. My cost is 97...so, I am not far away from that.
No auctions, Fed buying, swine flu?, Chrysler and GM shut downs could negatively impact economic data.
In any event, if it goes down further, I will keep selling covered calls at 2% per pop, until I get to break even. After all if TLT keeps selling off, what happens to the housing market and the recovery