Break-even: I breakeven on this trade if TLT closes at $119.30 on June 15, 2012.
Unprofitable: I lose money on this trade if TLT closes above $119.30. The most I can lose on this trade is the amount the spread can be worth $1 minus the Price I sold it for $.30 for a total of $.70. I think that Bonds are headed lower and the unability for TLT to rally above $119 makes this a great risk vs reward trade.
UPDATE 5.11.2012 TLT has rallied very hard and is above the $119 level, but I will leave this trade on because I think that Bonds are headed lower.
UPDATE 5.14.2012 TLT has rallied HUGE and the only think I can say is I am glad that this is not a HUGE position. This spread is currently worth $.52, but since it is a June position I will leave it on.
UPDATE 5.15.2012 TLT has rallied again today, but I think the summer rally will help this trade out. I will leave this trade on.
UPDATE 5.16.2012 It seems as if this Spread goes up in value, it is currently worth $.60, but I am not looking to add to this position.
UPDATE 5.21.2012 Another trade that went Rogue, I will leave this trade on and hopes that the TLT will sell off.
UPDATE 5.22.2012 Another trade that I should probably have added at $.90 yesterday or look to take it off today at $.70. I will look to take this trade on and move on.
UPDATE 5.24.2012 With the TLT selling off again today, this spread is worth $.70. I will leave this trade on.
UPDATE 5.29.2012 I still believe in this trade, I might have not picked enough time for this trade though. I will leave this trade on, because I have already defined my risk vs reward.
UPDATE 6.4.2012 This spread is worth $.90 and I will look to take it off as the trade went against me and trying to capture any part of the money back.