It’s funny how quiet things get before the market gets smacked.

Lately, I’ve been watching traders pore over technical charts and earnings calendars like that’s where the action is. 

Meanwhile, the real wrecking ball has been hiding in plain sight: the bond market.

If you’re not paying attention to yields right now, you’re walking blindfolded into a minefield.

The 10-year is pushing back toward 5%, and the Fed isn’t in any rush to cut. 

And why should they be? Inflation isn’t dead and the labor market’s still tight. 

Every time the market starts pricing in rate cuts, the Fed walks it back.

Here’s the problem: When yields go higher, everything else starts to break. 

Stocks, especially growth names, get hammered because higher rates crush valuations. 

It’s not just some academic thing — it’s math. Every future cash flow gets discounted harder.

That’s why companies with no earnings (or earnings way down the road) take it on the chin first.

We saw this movie in 2022 and we’re seeing it again now.

If you want to do better this time, here are some things to try.

Let’s Talk Trades

When bonds start to lead the dance, your entire options strategy needs to adjust. 

This is not the time to be holding long-dated call spreads in tech and hoping for the best. 

You need to shorten your time frames, raise your cash, and keep your risk tight.

Here’s where I’m focusing:

1. Volatility trades tied to rate pressure. Look at names that get smoked when yields rise. Think semis, disruptive tech, or even small caps. These are your volatility magnets. 

2. Financials with a twist. Rising yields should help the banks, but not all financials are built the same. Regional banks are still carrying interest rate mismatch risk. I’m watching for failed rallies to short into.

3. Bond-equity correlation reversals. Normally, bonds and stocks balance each other out. But when yields are the reason stocks are falling, that correlation flips. That’s when you see both markets fall together. That’s rare — but it’s tradable as long as you stay nimble.

Pivot, Then Focus

You can’t trade stocks like it’s 2020 anymore. 

The cost of money matters again, and the bond market is now calling the shots.

This is the time to think more like a macro trader, even if you’re just trading options on stocks. 

You need to know how interest rates ripple across sectors, across charts, and across time frames.

If you’ve been getting chopped up in October, there’s your answer: It’s not the earnings. It’s not the war headlines or even just the Fed talk.

It’s rates.

So keep one eye on the 10-year and the other on your risk.

Because when yields move like this, your best edge is staying nimble, staying liquid, and moving fast when the market gives you an opening.

Stay street smart,
Jeff Zananiri

P.S. Most traders don’t even know this exists…

There’s a hidden “trigger line” buried deep inside certain stocks, and when price crosses it, everything goes haywire. 

Market makers scramble and volume explodes. Gains as high as 2,500% can hit in a single day.

I call it The Money Zone, and on Wednesday at 8 p.m. EST, Danny Phee and I are going live to show you how to unlock it.

This isn’t some AI hype or crypto pump — it’s something way more explosive.

Reserve your seat now before it fills up.

*Past performance does not indicate future results