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Monday 26 December 2011

US Treasury Notes Short Trade

A well known philanthropist (John Paul Getty) once said “If you owe the bank $100, that’s your problem. If you owe the bank $100 million, that’s the bank’s problem.”

US Treasury Note Trade

The sooner European politicians read this quote and look in the mirror, the sooner the risk on trade will be back in force. Until then, we could either see their continued failure to accept their lack of responsible lending (and monitoring of recipients), stifling any rallies, or a continuation of the ‘fix the symptoms not the disease’ solutions that may buy them time, but is unlikely to benefit anyone’s retirement funds but their own. Fortunately, 10yr US Treasury Notes are yielding below 2%, from above 3% before June, largely due to their safe haven nature rather than US fundamentals. My view is that the next 6-12 months will be the optimum time to be short US Treasuries, with any entries below 2.1% being favourable, and it’s not because I think high yields will be the result of a European recovery. 

Introduction to my Trading Blog


Hopefully this blog will prove to be useful for the majority of readers, none more so than myself, as it aims to structure my trading ideas, experiences and challenges and convert them into useful trading strategies and ideas for both myself and any readers. I’ll try to be a little more light-hearted than most trading or stock blogs and press out there (it’s unlikely I’ll cross over into funny though) as there will always be more knowledgeable people out there, but hopefully the ideas presented here will be more enjoyable to read.