Episode

Bonds Crashing. Here is the Trade

Podcast
Option Trades Today
Published
May 13, 2026
Duration seconds
296
Processing state
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https://optiontradestoday.libsyn.com/bonds-crashing-here-is-the-trade
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https://traffic.libsyn.com/secure/optiontradestoday/TT1965_OTT_260513.mp3?dest-id=2645120
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Markdown
/podcast/option-trades-today-3580021/bonds-crashing-here-is-the-trade.md

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Summary

Bonds are crashing and rates are going higher. That is not what the administration wants. And if you think bonds stay near the low end of their recent range, there is a simple short put trade that pays you $11 a day in theta to wait. Jamal walks through a live short put on the 108 strike of the US Treasury bond futures with 44 days to go. The bond is trading at 111-16, sitting at the very low end of its range. The 108 strike is about one standard deviation away, 18 deltas, 87% probability of profit, and $390 in max credit for roughly $2,700 in buying power. A bond point is worth $1,000 and each tick is $15.62, all explained live on the tastytrade platform.