Wednesday, September 25, 2013

New Position TLT Short

I feel it's a little premature, but as an equity short I feel comfortable with TLT and with what I plan, November $108 puts, I feel comfortable as well.

 Longer term resistance was broken today, not any exceptional follow through on the break, again if there's a rotation to risk on it will largely come out of "Risk off assets" like TLT furthermore TLT needs to move down to help the market move up via SPY Arbitrage. I still like TLT as a long, but would like to establish that around $100-$102.


 TLT 10 min breaking above the intraday highs from yesterday along with longer term resistance.

The 15 min 30 year Treasury Futures look like a pullback is in the cards.

This is more of a trading position in my view so I think it needs some leverage, the only problem is any of the ETFs are very thin liquidity. I suppose TLT short would be worth 5-6% or you could look at TBT (2x short 20+ year treasuries) long as an alternative with some leverage.

No comments: