It is now time to sell sell sell your TLT - Bonds are going to crash

Looks like treasury bonds at a crescendo high. Time to get out of those bonds!!!

 

Now the financial crisis ...

 

http://www.priceactionlab.com/Blog/2011/09/tlt-possible-correction-to-close-gap/

Maybe beginning of bond downtrend if Greece problem solved.

 

Exactly. No Armageddon at this time. Lehman won't happen in Europe....the leaders there are too strong.

 

Excellent call. Perfect timing.

 

I believe now is a reasonable time to short TLT
123.2 is the current price i would say scale in every 5$ till a max of 130$

TP: 100 to 106

What’s everybody else’s view on TLT

 

Got to be very careful here. Nobody knows how far down will go. FED just keeps on buying.

 

I’ve been doing some research and it doesn’t seem like the feds operation twist is going to accomplish much, here’s some numbers

2010 US bonds outstanding 37 Trillion dollars

Daily trading volume of fixed income 822 billion dollars nearly all of which is in the US market

Monthly FEDs purchase is 40 Billion dollars

822 x 21 = 17262
(40/17262) x 100 = 0.23%

There buying power works out to about 0.23% of monthly trade in US fixed income, this can create that much of a increase in treasuries like TLT.

Maybe if the market buys what the Fed buys because the Fed is buying it, could create a higher demand.

I’m currently shorting TLT because at these prices the yield is becoming very unattractive compared to the rest of the fixed income and also other investments like stocks and I reckon that it will crash as the money gets pulled out + it’s looking allot like a bubble

Please do correct me if I’m wrong I’m looking for a sounding board here to give me some feed back

 

is no one in tlt , or have a opinion on it

 

is no one in tlt , or have a opinion on it