posted on Dec, 13 2019 @ 06:57 PM
Yeah, I am calling it the "Easter Bunny" trade deal because the easter bunny isn't real. Let me show you what the easter bunny trade deal looks like
from an options traders perspective.
Here's a picture of the bond market, for those of you that don't know TLT is an inverse yield curve ETF. The yield curve drops when people buy bonds
(bonds are a risk off investment). So when the yield curve drops TLT goes up, that means when people buy bonds TLT goes up. When the market is healthy
people sell bonds. So when the trade deal was leaked by WSJ bonds sold off (yield curve went up) and TLT went down.
As you can see from the TLT chart as soon as Trump Tweet 10 minutes before market open that WSJ was lying bonds sold off (hint Trump lost me a solid
chunk of change on that bad boy). I was in a long market position mean betting on the market going up. Lucky for me I wasn't heavy in this investment
due to trade war exhaustion.
Now, here is the S&P 500. Massive breakthrough 315 resistance and today, after trade war was announced by Trump... flat close. Literally did not go
anywhere.
The market has no confidence in this easter bunny deal.
edit on 13-12-2019 by toysforadults because: (no reason given)