TLT Inverse Bond Play Before Meeting
Updated
The play for OTM calls on TLT right now is a good risk to reward for myself given the numerous positive potential outcomes. If they don't cut rates, I expect TLT to make a very nice upward move due to bond prices going up and maturity going down.
If they cut rates, I still expect bond maturities to go down and for TLT to go up.
With the current landscape I am feeling very comfortable with the prices I got for my OTM calls and the ROI.
I'll update later today after the meeting which is less than two hours away currently.
Happy trading everyone, try and be as positive of an impact as you can be everyday. Good luck with any of your plays today
-golddolphin
If they cut rates, I still expect bond maturities to go down and for TLT to go up.
With the current landscape I am feeling very comfortable with the prices I got for my OTM calls and the ROI.
I'll update later today after the meeting which is less than two hours away currently.
Happy trading everyone, try and be as positive of an impact as you can be everyday. Good luck with any of your plays today
-golddolphin
Note
For those asking me when and why I closed, I closed around $9.44 I still like this stock going forward but expect some pullback. With the uncertainty this week has in store for the market, FTCH is up roughly 15-20% from my entry a few days ago which is more than enough for me.Note
Ignore the previous comment was from my other play. TLT made some moves this afternoon after the meeting, holding my OTM calls.
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