04 March 2011

US10YY : Neutral @ 3.57%

  • Squared up balance of short TYM1 @ 117-28 (3.58%) after damp squib price action post NFP, which came in spot on market expectations. Net net a small loss on the hedge which had provided me with mental fortitude to run giant sized long Unrest Trades (which profited handsomely from Mid East/N Africa events).
  • Given that I have taken profit on a large chunk of the Unrest Trades, and the hedge having come back from a big loss, this seems an ideal time to get rid of the TYM1 mental crutch.
  • Technically 3.57% is neutral on both monthly and weekly charts. 50-50 either way from here. Good time to be square and observe price action from the sidelines too.
  • Removal of hedge = Running naked outright long Unrest Assets (Gold, CAD, etc), albeit much smaller now vs a week ago.

1 comment:

Taichiseal said...

Re-Sold at 118-21 (3.48%)