Short term traders should be aware the big zones and the matches based off the (H) 30 yr. Bonds for reactions in the SPU/BOND spread. The march bonds could get to just over 126 on a panic and complete the entire swing trade from lower on the year to higher.

SPM ( JUNE) The bigger zone which would match up with a flight to quality in the Bonds would take us down into the 1244-45 area for a start.

I would look to cover the bulk of all positions the first time down. Bounces can be fast and severe from these areas.

Keep a weather eye on USD/CAD @ 100 for a match in the Spu/Bonds.

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