Futures :: Forex Trading

Scale Trading 10 Year T-Notes

I had a great week with my scale trading; I made $1000 when 10 year T-Bills moved from 112.000 to 111.000

I think that T-Bills are good to trade because everyone is saying that interest rates are going to go up.  No one is saying that 3 years from now interest will be much lower than it is now.

I think this is a really good bet, the only unknown is how much more it will go down before it starts up.

And to cover that possibility I have some backup money in the form of a line of credit.

So I kind of feel like I am making money off my line of credit without using it, at least at this point I haven’t had to use it.

Allen Greenspan has announced that he will continue raising rates and I can’t see him suddenly changing his mind for no reason. So interest should continue to raise, and push up interest rates and get me out of all my 10 year T-Notes with a nice profit.

I don’t mind waiting for this to happen, and I realize it might take a year or two, but the longer it takes the more oscillation profits there should be so I really don’t  mind it taking a while.

Saturday, September 17, 2005