Monday, January 23, 2012

Bonds due to get crushed: Look to TBT and TLT: Mortgage Rates Higher

Hi Folks,

It's been a long time since I blogged. I am going to start to actively blog more often now.

So now, I am looking for the bond market to get a bit of a butt kicking over the next several months. TLT is now rolling over. You can play this one of 2 ways. Either short TLT or get long TBT. If you are going to use options to trade this I would stick with TBT and at a minimum use March options are even June options. I see TBT getting to at least 25 and possibly 30 over the next few months.

This will also lead to higher mortgage rates for those of you looking to refi make sure you lock in your rates.

As I have mentioned before 90% of my analysis is technical analysis so I don't offer much color at this point to any reasons behind my oprinions other than technicals.

Please feel free to comment or ask about any particular stock, ETF or currency.

Have a great day!



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