Taking Another Shot at TBT/TLT (3rd Time)

We first bought a calendar spread on TBT when it was at $47, made excellent money as it went to $50 and got out.  Then TBT went back to $47 and we jumped in again with a call spread in early Feb.  Subsequently, TBT went to $50, we made over 100% profit and got out.  

Now, TBT has fallen back again to the bottom of the channel now trading around $46.67, and I am going bullish again.  For those who don't know, TBT is 2x inverse of TLT which corresponds to long-term bond yields.  Right now, the yield of 10-year has fallen to 3.60% level that I perceive as a floor.  I am looking for yields to go back to 3.70% which equates to $90 on TLT and $49 on TBT.  


I like the following call spread:


- Buy to open April $47 calls
- Sell to open April $50 calls


I just filled the order for net debit of $0.77.  By the way, by the end of year I anticipate yields to go to 4.5% or even higher, unless you believe we are in a full blown deflationary environment.  Given perpetual issuance of debt by current administration, and the Fed bringing an end to MBS purchases and last week raising discount interest rates, these are all signs that interest rates in the long run are going higher.  


The trade above will not be the last time.  Follow the charts and put this on your radar for many years to come.  Buy the dips, sell the rips.  


Good luck!