11 September 2009

10 yr Bunds/UST Spread : Back in Play

  • Trading back at +11 now, having been up to +20 during the week
  • Originally shorted 0.8% EAR at +10, bad timing but trade idea remains alive
  • Plan now to double initial risk if we close tomorrow night (week) below +10
  • This should coincide with US10YY closing below 3.40% = weekly upTL = bullish TYZ9
  • If trade works, we should easily see -10 (monthly chart) after clearing par.

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