With the exception of a couple of days ago, I typically have had good success trading Treasury-bond fund symbol TLT. In spite of getting stung badly on Tuesday, I went long TLT early on Wednesday and enjoyed a good portion of the run-up in price.

As the day neared the close, I decided to reverse my position and short TLT based on a couple of things. First, the surge upward was pushing it back up to an appropriate level for a "lower high" based on the past few weeks of trading, and two, I believe the longer-term prospects for interest rates is higher (and bonds, thus, lower).

As I'm typing this, the bond futures are down nearly half a percent and TLT is down even more. Below is the @ZB chart (which I'm using since TLT isn't open yet), and I've marked with an arrow my short entry point.

What is particularly intriguing to me is that the bonds are down in spite of the Euro being strong. Recently, the correlation between dollar's weakness (and thus the Euro's strength) has been very tight with bonds. But look at how they're parting ways this morning:

This suggests to me that bonds are so weak that even a surging Euro isn't helping them, thus amplifying my bearish disposition toward bonds.

As a closing note, Slope is going to continue to be very quiet until January 3rd. I'm on "vacation" (inasmuch as that means for me), trading has gone from light to almost non-existence, and New Year's is upon us. Suffice it to say posts will continue to be few and far between until next Monday, so thank you for understanding.