Bond Market Update: Is Now the Time to Buy?

tastytrade11 hours ago4:24

Have bonds bottomed, or is this just a dead cat bounce? On Five Minute Futures, sponsored by CME Group, the trade is a tactical shot at a swing higher in the 30 year Treasury bond future, which has been beaten up horribly and is deeply oversold. The key point is not calling a bottom, it is structure: there are two ways to play a bounce, and a defined-risk call spread gives a far better payoff profile than selling a put spread when the trend is still clearly down. 📊 tastylive: https://www.tastylive.com/ 📰 Get Tom's pre-market analysis every morning: https://www.tastylive.com/newsletters 📘 FREE Options Strategy Guide: https://tinyurl.com/bp9ms763 📱 Follow tastylive on X: https://x.com/tastyliveshow Chapters 00:00 Have bonds bottomed or bounced 00:14 A tactical, not a swing, trade 00:37 The 30 year bond contract explained 00:53 Why the long bond moves fast 01:16 Idea one, the short put spread 01:37 Why that's catching a knife 01:55 Idea two, the call spread 02:25 Risking one to make three, flipped 02:41 Why duration favors the call spread 02:56 Shorts at historic extremes 03:26 This is a bounce trade, not a bottom 03:44 Managing it, take the win and get out #tastylive #fiveminutefutures #cmegroup #bonds #treasuries #30yearbond #definedrisk #callspread #futures #stockmarket tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we'll help you take your trading to the next level, whether you are new to trading or a seasoned veteran. tastylive content is created, produced, and provided solely by tastylive, Inc. ("tastylive") and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. Options, futures, and futures options are not suitable for all investors. Prior to trading securities, options, futures, or futures options, please read all applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange Traded Options Risk Disclosure Statement found at https://tastytrade.com/disclosures/. Past performance is not indicative of future results. Performance is not presented net of all commissions, fees, and expenses. Multi-leg option strategies incur higher transaction costs than single leg trades as they involve multiple commission charges. Examples provided are for illustrative, informational, and educational purposes only and are not intended to be reflective of results you can expect to achieve. Supporting documentation for any claims, including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request. tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer.

Bond Market Update: Is Now the Time to Buy? | PiQ Markets