Bond Rally Stopper

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We have posted the weekly chart of CBT/Globex T-Bonds. We note how the high of the recovery from June 01 low stopped at the .500 retracement level and at the 50 week moving average.

We have talked about the Bonds in previous blogs and thought that since we had mentioned ways to enter the short side of this market we would present another for those looking to establish new or additional positions.

This is taken from our weekly Trade Focus prepared Thursday October 15:

T-Bonds (Dec.) – The T-Bonds have experienced a key reversal back on October 2 and have made a nice set of stair steps on their way down off their top. We will suggest at this time that short entries can be initiated at a price level of 119-30 or better. We believe stop protection for this if elected should be intraday penetration of 121-11 or a close at or above 121-06. Retracement levels of support are approx.: 118-21; 117-01; 115-14.

Good trading and Happy Week End to all

Jeff
and
Diego

Futures and options trading contain substantial risk of loss and may not be suitable for all investors.

Trade Focus update - Natural Gas

Click to enlarge chart

This is an excerpt from this week’s Trade Focus. It was written in the early afternoon on Thursday September 24.

Natural Gas (Nov.) – Two weeks ago we introduced this marked to our coverage and actually saw a suggested long entry be elected. That is from a price level of 4025. We noted last week that the rather quick run up had touched against two points of resistance and that some participants might choose to reduce the size of the long entry position. Remaining long entries from the initial suggestion we believe can raise stop protection to intraday penetration of 4369 or a close at or below 4425. We also suggested last week that new or additional long entries could be initiated with intraday penetration of 4830 which has been penetrated. Suggested long entries from this entry approach we believe should place stop protection at intraday penetration of 4540. We believe the next area to expect stiff resistance should be 5320 or so and some long entrants may choose to reduce position size in that price area. Retracement areas of resistance are approx.: 4874 (hit) 5308; 5743. Extension targets active are approx.: 5019; 5155 and approx.: 5205; 5381.

For those not on our Trade Focus email list you may sign up for a trial at jmajer@mfglobal.com

We send the email version of the weekly Trade Focus the day it is written. We post it on to the website at www.cbandsbrokerage.com after additional prep work and compliance procedures which usually takes an extra day.

Let us know if there are any questions comments or even better if there are any answers you may have.

Futures and options trading contain substantial risk of loss and may not be suitable for all investors.