bonds looking very toppy short term

D

dafugginman

reversal, up near that cluster of resistance, and 3 other short term highs. it'll take a lot of energy to get it through there. worst case seems like a consolidation, before going higher. regardless, it's a good risk reward play.

is there any way to play this directly through a stock symbol. i remember someone saying there are some hldrs, or something similar, where you can trade the bond contract. also, stocks, like GE according to murphy morris, looking like a short term bottom.
 

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chart of GE. looking good. i'm putting on a bullish options position, and covering some of my short calls in other stocks tomorrow also.

does anybody have where some of the other sentiment indices' are, like arms index and put/call ratio?


am including, john murphy's commentary here:

GENERAL ELECTRIC BOUNCES OFF OCTOBER LOW... We've all been waiting for the NYSE stock indexes to reach their October lows -- from which a bounce is expected. Here's a big NYSE bellwether that's already there. General Electric was the day's most active stock on the big board -- and it gained ground today. The chart shows that it is bouncing off its October low just below 22. Since this is usually viewed as a big board bellwether, there may some significance to today's successful test of that chart low point. The daily oscillators are also encouraging. The 9-day RSI shows a "double bottom" beneath the oversold level of 30. And, the stochastic lines have moved back over 20. [The stochastic lines can reach oversold territory under 20 and stay there for awhile -- as they did with GE. It's when they turn back up over 20 that a short-term bottom is signalled. That's what they did today. Given its size in the NYSE stock averages, that may support a rally on the big board as well.
 

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As a proxy to the bond futures, you can trade iShares Lehman 20+ Year Treasury Bond Fund (Symbol:TLT). Unfortunately, the volume is rather thin. Better suited for swing or position trading than daytrading.

Hope this helps.

Gambler
 
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