Wednesday, December 17, 2008

Update - Bonds Continue Big Move...

Huge move in the bond market this morning… TLT jumped nearly $4! The TNX gapped down. So, now with rates at zero, bonds continue to move up in price and down in yield… That move must be getting close to over!

Short term rates as measured by the IRX (3 month Treasuries) are still flat lined near zero.

Below is a 3 month chart of TLT. Look at the opening print, it's above $120! It's also above the upper Bollinger, so this is worth watching.

Parabolic move? Check out these 5 minute charts... the TNX on left, TLT on the right. Look at the move since yesterday afternoon's FOMC announcment: