Sooo, i’m back from vacation… I’m trying to get tuned in on the markets, which i’ve spend some hours on today.
First scalp of the day was in the ZN – the new contract. Keep in mind we’ve just switched contracts in the Treasuries, but not yet in the European markets, hence the markets acts a bit iffy.
First picture shows the Yield index for the Bund(FGBL) which i was watching closely in order to trade the ZN. In hindsight it’s a clear directional bias to the short side, BUT it’s the 1’st of the month, and i will in general not short anything here. There was momentum to the downside in the morning, but i was waiting for the sellers to throw in their towel, in order to take a bit risky long position.
I placed a limit order, in order to get filled @ 130’205 in the ZN which was a nice little valley in the volume profile, as i saw someone absorbing over 1500 contracts in the Bund @ 167.07. I rode it up to 130’230 where the top got blown out in the Bund.
Best of trading to all of you