4 Simple Bond Trading Strategies (Rules and Backtest)

Welcome to our YouTube channel! In this video, we explore and show you all the rules for 4 bond trading strategies. We will also discuss why bond trading often goes unnoticed by short-term traders. Despite being larger than the stock market, bonds are often overlooked. However, bonds can be great trading tools and complement stock trading strategies.

In this article, we present four specific bond trading strategies. Bonds offer lower risk and diversification benefits, making them worth considering. Before diving into the strategies, remember to backtest them yourselves also and verify them. We don't provide investment advice in this video.

We start by explaining what bonds are and how they differ from company shares. Bonds provide lower risk and are paid before shareholders in case of bankruptcy. Long-term US Treasury bonds are our focus.

We discuss the factors that influence bond prices, such as credit risk, interest rate risk, and inflation risk. Bonds, especially US Treasury bonds, have low correlation with stocks, making them a complementary asset class.

Throughout the video, we present bond trading strategies with trading rules and backtests. We discuss a simple strategy and its modified version, demonstrating its effectiveness. We also explore a long bond strategy that incorporates price action and seasonal variables.

By incorporating bond trading strategies, you can enhance diversification and potentially reduce risk. We combine bond strategies with the S&P 500, resulting in improved annual returns and reduced drawdowns.

Remember, past performance doesn't guarantee future results. Our video showcases the potential benefits of bond trading strategies for diversifying portfolios and managing risks. Don't forget to like and subscribe for our latest content. Always conduct thorough research before making investment decisions. Happy trading!

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RISK DISCLAIMER Quantified Strategies (SIA Lofjord) is not an investment advisor. The content and information provided are educational and should not be treated as financial advisory services or investment advice. Trading and investment in securities involve substantial risk of loss and is not recommended for anyone that is not a trained trader or investor – it shall be conducted at your own risk. It is recommended that you never risk more than you are willing to lose. Leverage can lead to substantial losses. Any use of leverage, margin, or shorting is at your discretion. Quantified Strategies (SIA Lofjord) is not responsible for any losses that occur as a result of its content and information. Hypothetical or simulated performance results have certain limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, Since the trades have not been executed, the results may have under or overcompensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated trading programs, in general, are also subject to the fact that they are designed with the benefit of hindsight. No representations are made that any account will or is likely to achieve profit or losses similar to those shown. ... https://www.youtube.com/watch?v=N7PnyY132fk