B bond tr4der Dec 1, 2008 #1 The longer treasury yields stay low, the higher the liklyhood we're going to crash, hard. What's limit down these days anyway? -1250?
The longer treasury yields stay low, the higher the liklyhood we're going to crash, hard. What's limit down these days anyway? -1250?
M MGJ Dec 1, 2008 #2 Buy some LEAP puts and when you close out the trade, please tell us how it worked out.
C crgarcia Dec 1, 2008 #3 Quote from bond tr4der: If risk free rate is 0.01, a PE of 10 is way too high More... You must use 10 or 30 year bonds. The reason is simple, if you want to invest for 4 weeks or a year, then stocks are not for you. Stocks are long term investments. Otherwise you are comparing apples to oranges. 10 year bond yield 2.82%, P/E 35
Quote from bond tr4der: If risk free rate is 0.01, a PE of 10 is way too high More... You must use 10 or 30 year bonds. The reason is simple, if you want to invest for 4 weeks or a year, then stocks are not for you. Stocks are long term investments. Otherwise you are comparing apples to oranges. 10 year bond yield 2.82%, P/E 35