Market Volatility: What Traders Need to Know
In the fast-paced world of trading, navigating market volatility can be a tricky endeavor. With the upcoming 3-day weekend on the horizon, traders are on high alert for any potential shifts in the market. While predictions are never a sure thing, there are certain scenarios that traders should keep in mind to stay ahead of the game.
Understanding Pre-3 Day Weekend Volatility
As rates rally sharply on Wed/Thu with motivation from data/events and no major data on Friday, traders may expect a bit of a pull-back. While the first few hours of domestic trading may not show a major example of this, it’s essential to remain cautious. For those looking for a defensive ceiling, yesterday’s closing yield of 4.61 has already provided a supportive bounce after overnight gains and early selling.
Anticipating Market Reactions
Looking ahead to next week, traders are facing a bit of a wild card with the market’s reaction to the anticipated salvo of executive orders after Trump’s inauguration. With potential market shifts on the horizon, traders need to stay vigilant and prepared for any sudden changes.
Stay Informed with MBS Commentary
To stay ahead of the curve, make sure to download our mobile app to get alerts for MBS Commentary and streaming MBS and Treasury prices. By staying informed and proactive, traders can navigate market volatility with confidence and precision.