ZB1! trade ideas
TREASURY BONDS CREATING LIQUIDITY BEFORE MOVE UP?Hello my beauties.
The bonds seem to be in a strong downtrend, and the volume profile suggests that the most liquidity is actually clustered around the upwards trendline area. I suspect the price will be directed there to generate enough liquidity for the next move up.
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Peace.
Luca, TrickleDownFX
are treasury bonds majorly screwed because of inflation pricingInflation cpi metric at 5% + makes the the bonds extremely unattractive. every 1 % change in bonds is a large price impact on the value of bonds. The Bonds are in a confirmed downtrend and threatening to test support around the 156 level. The same weakness here in bonds can be found in almost all of the other bond etfs. Why would anyone want tiny yields in this environment? Only a major sell of in risk assets like stocks and crypto would ever make the bonds seem like a smart idea....
US treasuries still bullishFED continues QE and purchasings of the FED remain unchanged,
meanwhile inflation is slighty below the expected targets and the economy is doing very well, while not being yet there where it should be, according to recent FED statements, so QE can be expected to be continued and interest rates remain unchanged until somewhat in 2022. Money supply remains gigantic and annual inflation is being expected around 4 %, no one wants to hold cash (e.g. dollar) in this environment
ZB1! Daily TimefameSNIPER STRATEGY
This magical strategy works like a clock on almost any charts
Although I have to say it can’t predict pullbacks, so I do not suggest this strategy for leverage trading.
It will not give you the whole wave like any other strategy out there but it will give you huge part of the wave.
The best timeframe for this strategy is Daily, Weekly and Monthly however it can work any timeframe above three minutes.
Start believing in this strategy because it will reward believers with huge profit.
There is a lot more about this strategy.
It can predict and also it can give you almost exact buy or sell time on the spot.
I am developing it even more so stay tuned and start to follow me for more signals and forecasts.
30 Year Bonds Strategy: Long after insidebar below 18 MAthere is a profitable entry method to trade long on the break of a inside day bar below the 18 moving average.
Similar pattern works also on soft commodities and natural gas...
But these type of setups dont setup longer trends so make sure to exit at the next day open...
Bonds Strategy go short if PercentR is above 15 No investment advice but Larry Williams traded the Treasury Bonds pretty good in 1987 by relying on indicators like PercentR
Look for his trading record where he turned 10k into 2 mil by end of september 1987 with trading bonds and S&P 500.
On the Chart you can see his 1987 entry dates but applied on a 2021 chart, so there are plenty of opportunties to apply his strategy this year.
Obviouly the short entries if PercentR indicator was above -17 are only one part of the equation.
Position sizing is key, larry started with 1 contract but quickly went to 5,10, 50, 100 contracts to archive a 10.000%+ performance.
Going Long if PercentR is below -80 is also an option but first there needs to be an uptrend in place.
Back in 1987 larrys biggest winning trade was 1328$ profit per contract (280 contracts closed on 9th september)
Keep in mind that his biggest loosing trade was with 400 t-bonds on 19th october (629k loss)
To avoid bigger losses any strategy should be seen as a setup on a daily chart but then on the lower time frame you can place a much more reasonable trade with a pre-defined stoploss level.
Bond Curve - Long End where Fiscal Funding is FundedThe Dollar has very large Trendline support as well as the 50SMA.
The pressure this exerts can be extreme.
The rising trend indicates the potential for an extreme move
in the Rate of Change (ROC) once again.
The move will be very strong as 2 events are in play:
1. DX Hoarding
2. Net Drains @ FED and US Treasury
* Of Note, the future of stimulus was made clear this week as California
announced their intent to provide Universal Basic Income at a flat rate of
$1000/per person.
YCC remains active ahead of the September Federal Reserve Policy Statement.
Frankly, a non-event imho.
Since the end of March 2021, the 10Yr has dropped from 1.74.
The question being asked - What is the Bond Market indicating?
Answer - the FED smacked their noses for attempting to call them out on their
endless BS.
Weekly Analysis 08/23 - 08/28HTD Dollar looks like Bullish Setup, aiming for the Old Daily swing Highs, while US Equities is at overbought condition and possible SMT Divergence with Dow showing unwillingness to go higher while SP500 and NAS move higher. The Bonds are not really clear but I would say it's Bullish if I was told to walk the plank or project the Bonds.
No high impact news on Tuesday, but there is medium impact for USD on Wednesday then Thursday high impact USD news at 8:30 am est. It's going to be an interesting week, I see opportunity to learn price action like never before.
Stay safe dear viewers!
Bonds Trade Plan
This is the third post about Bonds in row.
This is important because what it says about the market in general - if you don't understand look at a chart of Ultra Bonds /UB (ultrabonds) in March of 2020 - then you'll understand.
All the cash aside being injected, things are slowing down again.
So here is actionable plan if my thesis is correct - long at the 50% retracement and out at .78% which is at the top of the triangle.
Bonds are raging on the Sunday open - we may straight to the 78% retrace without passing go and collecting $200.
FWIW - I'm only right 62% of the time
While the SPX is rallying the Bonds wouldn't be out
The Bond market staged its own rally today while SPX reached all time highs.
This is will be the third time Bonds have come up on this level.
Break the VPOC above and we're into the back into Covid maelstrom zone.
Most likely this gets breached no matter what - its there and it will scare the children - and be used for whatever purposes that need to be served.
One thing for sure - this will cause a sell-off in equities.