While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Jim Parker, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
The Spu/Bond spread is attempting an?ORH?day. This is a bottoming formation.
Spu/Bond spread is Long Equities/ Short 30 yr. Treasuries.
The spread shows capital flows in and out of Equities.
During times of Risk aversion the Bond Futures rally ( pushing down yields) as investors take profits in stocks.
Today we're seeing a bottoming pattern where investors are buying Equities ( Risk On) and Selling Treasuries to pay for the Equities being purchased.
IBM?is also putting in an?ORH.
PCLN?jammed the shorts @ the?ORL?#
30 Yr. Bonds...expect more weakness under 133.16
TLT...remains under pressure below 108
A completion of this pattern can lead to a good rally in the equities.
