I got the attached chart from Bar Chart and don't quite understand it. I've been trading equities for thirteen years, but have never really got a grasp of the bond market. Could someone please explain what I'm looking at. Bonds, themselves, I've learned the different types and know about the yield curve (10 day MBA, Steven Silbiger), but not sure what I'm looking at when it comes to a chart. Any thoughts would be appreciated.
HMUZ are the 3 month contracts covering a calander year. U is September expiration , Z is December and so on. Amateurs like myself can trade outright price in a single contract and price bars are what barcharts displays for these symbols. Or, you can trade your view of the yield curve. Steep is buy the near contract price and sell the far contract price. Vice versa for flat. Too much to figure out proper ratios and individually leg in so....this leads to trading exchange products. Google TUT, TUF or goto CME website....or just search on user "bone"
Thanks for the reply. I understand futures symbols and trades. What I'm having trouble wrapping my head around is say, the T-bond last 144-15. Is higher the price, lower the risk? When I think of a T-bond, risk would usually be minimal. So if the T-bond's last was 84-15, that would signal a possible default? or headed that way?