Treasury Trading Update

Open inteerst is now firmly in the June futures, after yesterdays session they have 1.23 million contracts and Mar. now only has 284K. More importantly open interest combined rose by 53K. That adds a lot of strength  to the current up move.

 

 

Chart below shows momentum clearly to the upside. Will look for Mar. futures to move above recent high @ 11830.5 today, so risks will be to the upside from current levels as buyers should show up.  Analysts pointed out market could be a bit thin today due to winter storms on the east coast, which could exacerbate any moves. June futures are now the lead month, and keep in mind what happened yesterday, the risk from here will be trying to trade Mar. futures, perhaps not so much today, but definitely next week.

Option players listed below. Note 2 way flow in Strangles. The buyer of the June 114/120 is a "different animal" than the player that has been shorting strangles over the last several years - with mega success by the way. Open interest does confirm the buys were new positions.

287	Bot	2000	J14/15 p	6	11700/01
287	Bot	2000	M18/19	22/23	11701/06
287	Bot	500	K17/20c1x2	50	11704+
287	Bot	2k	J15+/18+ Stgl	33	11702/02+
350	Bot	500	J16+p/18+c Combo	7	11703/04
355	Bot	6k	M14/20 Stgl	46/47/48	11702+
444	Bot	1000	J 18C	27	11704+-05
660	Bot	2k	M13p	16	11705+
685	Bot	1000	J17^	136	^M11704
685	Bot	3000	J15+p	14-16	11702-09
685	Bot	1000	M14p	25	11703-03+
714	Bot	3000	J15p	10	11704+-05
714	Bot	500	M17^	245	11706-06+
830	Bot	4000	M15/19 Combo put over	1	11703/04
287	Sold	1000	J18C	26	11704+-05
287	Sold	5000	J16+/17p1x2	Even	11704+/05
370	Sold	5000	K14/19 Stgl	35	11704/05
370	Sold	2000	M14p/19c Stgl	62	11704-05
444	Sold	500	J18+c	18	11705+
660	Sold	4000	J15+p	16	^H11811/12
660	Sold	2000	J 17^	136/137	^M11704/06
714	Sold	3000	K 12+ /14+p	11	^M11707
714	Sold	2000	K12+/14+p	12	^M11702
830	Sold	500	K17/20c 1x2	50	11703-03+
local	Sold	500	M15/19 combo put over	3	^M11701
Local	Trade	3k	K18/19c	20	11703+