PTTRX and the S&P both at 6 months highs. Bill is in the right stuff now given the FED statement and economic conditions. How/why the S&P is not correcting requires more analysis. Normally you could sell this now because the S&P would have dipped (they usually run inverse) and ride the S&P up for a while and get this back in the 10.7-10.8 range. Wierd. I'd say 11.40 easily for PTTRX this year. And if the S&P is near 1400 or 1500 then we have a long ride of up ahead.
IMHO the SPX hasn't gone down nearly enough... 'ol Ben is propping that sucker up while PTTRX is getting major inflows. I'd hold on (didn't actually sell yet like I posted earlier - cant figure out if sitting in cash is advisable).
Maybe implement a "stop-loss" strategy with PTTRX say 11.50 if we get to 11.55-11.60 range?
Still figuring out my move (don't fight the trend which is flying up with treasury yields tanking - can the 10 year hit 1%?) ... Buy late sell early doesn't seem to apply to this either.. The chart is amazing.
Nice problems to have!
<<If QE3 materializes we could see some serious gains>>
Short term gains in trade for long term pain. Ben(subprime is contained)Bernanke QE policies have not help stabilize the other two legs of the stool, jobs and the housing market. Folks talk about letting the housing market clear, how about letting the stock market clear. Then we would all have a chance to buy equities at a better valuation without the FED's constant interference.