If my bond short is going to work, via long TBT inside 12631, then today’s downside reversal in TLT is the best shot for the Chicago boys to stop the Fed’s printing press.
On the TLT daily chart, note that if today follow-through lower we would see another rejection of a declining 200-day moving average. The presumption is still that Treasuries are in a new bear market, with rates on the 10-year still in a confirmed bottom. I am playing for the next leg lower in bond prices of the bear. Cover-stop in TBT below $68.
Also, the softs are still hot, with JO CORN SGG leading the way. Corn and sugar look most ripe to follow coffee’s lead.
___________________________________________________________________
Difficult trading day!
Not for the 12631 crew.