TLT-Volume Does Matter

And will continue to matter more and more as the F_E_D's market distorting intervention grinds to a halt.

Once again, objective evidence from earlier today caused us to close the TLT call position at a near +50% gain, Closing TLT July 17th $117 Calls - Looking to Re-open at better price and the reasons why weren't because we had a near +50% gain and were afraid of losing it, they were objective, TLT Follow Up / Update.

Since then, this is what has happened in TLT...

The warnings in volume as well as the 3C charts have turned TLT to the downside as we exited right near today's intraday highs at the red arrow. The 3C chart since the last TLT update today has taken a very obvious short term turn for the worse which should allow us to re-enter a new position, better suited to our goals while booking nice gains. The TLT calls that we closed out for a +46% gain would now be worth +26%, a loss of +20% on the position in just 2 hours.

As the F_E_D normalizes policy more and more, volume analysis will be more and more important and there are very few traders left that believe in volume analysis or know how to conduct it. You just saw evidence of its value today with a +46% gain vs a +26% gain.