That makes sense. Thank you.

Exactly my thoughts. I saw that earlier today & decided not to sell any of my index longs, instead figuring it would likely only resulting in a minor pullback which would get bought up. Thx for sharing.

No, I don’t have a good read on the charts of /NG right now. I must have studied both /NG & UNG on various time frames a dozen times today & just could’t get a good read but will continue to monitor closely as I suspect a reversal is coming very soon.

See my reply to @jmcolli07 above. Historically, a rally in the stock market usually leads to a drop in Treasuries but that relationship has been spotty, at best lately. As of now, I’m holding a small long position in Treasuries since the R/R & charts still appear constructive but mainly focusing (positioning) on the equity markets right now but also long gold, silver, Euro, & maybe palladium soon (if it breaks out above that downtrend line I posted earlier today).

I reduced my T-bond longs but kept small positions in each as the charts still appear constructive (minimal downside vs. upside potential). Also, the historical inverse relationship between stock & bonds has been all twisted & turned by excessive Fed manipulation since COVID so hard to say exactly what to expect.

You’re probably better off just selling down whatever amount of T-bond longs you were thinking about hedging with TBT as the only one that benefits when you buy (or short) one security (TBT) to directly hedge another (TLT or UBT), is your broker. For you, it’s a 1:1 wash on a direct hedge like that but you’re burning up buying power (cash or margin) that could be used to take advantage of any opportunities that might present themselves.

I have questions about this too. If we are looking for flight to safety bounce lifting the value.. risk assets have to fall…No? right now a rally even a pull back is going to keep the bonds dropping like a rock.

Do you expect bonds to behave normally (prices dropping as markets increase) during this correction if we have one? Looking to hedge bond positions with a TBT position.