This day will no doubt be remembered for TLT’s breakout to new highs on an impressive 2% opening gap. With a lot of money betting against TLT, the govt. decision to cover it’s own debt is the likely catalyst for the pop, although it remains to be seen if these levels can be sustained. The NYAD has been 45 degree up slope since the open, but looks to be fading a bit right now so the mid morning might offer a pullback. I was (luckily) out of TBT, which has been a reliable day-trading vehicle for the past 2 weeks but intend to venture back at the indication of a TLT fade.
GDX was up 1.5% so far today confounding my Friday analysis but fortunately I followed the Thursday PDQ signal and went long GDX at mid-day. The PDQ does tend to generate signals that are best left alone for a day to two before opening . . a symptom of premature entry timing that can be frustrating (and costly). I’m working on it.
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