September 3, 2010 - Have Treasury Bonds Had it?

Featured Trades: (TREASURY BONDS), (TBT), (TMV)

 


1) Have Treasury Bonds Had It? You are probably tired of my yammering on about how close we are to a multigenerational peak in Treasury bond prices by now.

If you missed my last three pieces on the topic, click here for 'The Great Bond Market Crash of 2010', click here for 'Don't Buy That Treasury Bond", and click here for 'Get Ready for the Sack of Rome'.

After yesterday's dramatic price action, which saw my preferred vehicle, the double leveraged (TBT) up 5% on the day, and the (TMV) tacking on a blistering 10%, you may be forgiven for thinking that the fat lady is getting ready to sing. Take a look at the chart below of the gargantuan cash flows into bonds, and you know that if this is not the top, it is not far off. Listening to the cheerleaders on CNBC applauding the pop in equities and the slide in bonds yesterday, you'd think it was a done deal.

BondFlow3.png


TBT3.png


TMV3.png


FatLady.jpg

Is the Fat Lady Singing in the Treasury Bond Market?

/by

Legal Disclaimer

There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.

September 3, 2010 - Darwinian Downsizing in the Solar Industry September 6, 2010 - Is the UNG Going Under?

This site uses cookies. By continuing to browse the site, you are agreeing to our use of cookies.

OKLearn more