Todd Gordon's iShares Barclays 20+ Yr Treas.Bond Trade

On CNBC's "Trading Nation," Todd Gordon spoke about a bullish options trade in iShares Barclays 20+ Yr Treas.Bond TLT.

He thinks TLT might move higher after the Fed's decision to take a dovish approach. Gordon explained that this means that there are not going to be any rate cuts in 2019. He has also identified a bullish technical pattern called the inverse head and shoulder on TLT's chart.

See Also: Fed Says No Rate Hikes In 2019

To make a bullish trade, Gordon wants to buy the April 123 call and sell the April 125 call for a total cost of $0.71. The trade breaks even at $123.71 or 0.62 percent above the current market price and it can make a maximal profit of $1.29.