TLT trade ideas
TLT - Golden CrossThe Golden Cross is the Creme de Crop when it comes to longer minded individuals.
I'm liking this 20Y bond ETF for the reasons listed on the chart.
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Mark 8:36 - For what does it profit a man to gain the whole world and forfeit his soul?
Acts 4:11-12 - This Jesus is the stone that was rejected by you, the builders, which has become the cornerstone. And there is salvation in no one else, for there is no other name under heaven given among men by which we must be saved.”
TLT (Debt Supply) Goes Up With Federal Borrowing (Debt Demand)Here's your edge: the TLT blasts off when Government borrowing blasts off, a simple case of supply and demand.
The Federal Government borrowed 2.2 Trillion USD in the last 12 months, data that has been added to Bloomberg Terminals but not here on Tradingview or on FRED. I bring you a piece of the cake, friends.
SOURCE: x.com
Huge inverted head and shoulders in bonds.I don't track bonds all that much, but as a general rule when I see scores of people all talking about the same thing (Which they do not normally talk about), I suspect that idea might have gotten too popular for its own good and look to see if there are any obvious fade patterns.
I looked at TLT a while ago and seen the possible head and shoulders. Have just been waiting for a suitable capitulation to support to enter.
Long now.
TLT - Risk Off Is Dead (For Now At Least)As risk on gravy train continues post FED interest rate cut 🚞, it is certainly worth noting that risk off bonds are becoming significantly bearish.
Notice that TLT 20 year bond ETF has seen a significant failure printing a 3 wave pattern with a slightly higher high to then collapse back down.
Also notice that it is a failure through the 20 month MA.
And this is printing a very bearish Evening Star Pattern.
I say "very" because the current candle is printing a significant bearish engulf of previous bullish candles.
Overall this is a very bearish look and I think this has a reasonable chance of re-testing the lows to print a Wyckoff ST Secondary Test.
Its not impossible that there could be another wave down if US government debt falls further out of market favour.
That is less likely I would suggest but never say never 🧐.
Not advice
TLT +50% Every Time This Happens and It's Happening NowTLT/SPX Monthly RSI (8 Period Close)
It makes sense to analyze the most common institutional portfolio allocation (Equities and Bonds) rather than Equities or Bonds separately. Most investors focus on Fed Funds, unemployment, the business cycle, rates, to analyze the bond market. But those metrics are poorly correlated to returns at best. When you focus on allocation, as in Bonds plus Equities, you start making some progress. That's exactly what this chart represents; where the money is going and when. Hint: it's going into Bonds. Soon.
BBOT (Bonds Blast Off Time) is here
Rolling (IRA): TLT Feb 21st 100 Calls to the 95 Calls... for a 1.09 credit.
Comments: Looked at all my options here for the rolling of the short call aspect of my covered calls -- rolling down, rolling down and out, rolling out as is, rolling to shorter duration and down ... . Going with rolling down in the same expiry for a 1.09 credit.
Resulting cost basis: 89.11.
It still remains a bet that the Fed will cut rates at some point, just with lower max profit potential.
Bad day for TLTTLT has lost its uptrend, and lost the 200D EMA.
There's a very long term support line at $94, perhaps we'll get a bounce here that keeps things level until we get the next rate cut.
I'm out of TLT for now, will look to rebuy when I see something that looks like a bottom, or around Halloween in anticipation of a run up leading into the Nov FOMC.
Anyone have ideas on why TLT is falling during a period of rate cuts?
Are we so far ahead of the game that we know rate cuts will ignite inflation, which will push TLT down?
.. or is the international community pulling away from US treasuries, reducing demand.. and the next wave of inflation gets driven by global TBill sales?
Your thoughts are welcome below.