iShares Barclays TIPS Bond (TIP)

[sumisu]

TIPS has had a great run and appears to be topping again.

For me in my 401K, TIPS is the only alternative to provide me inflation protection.

I try to analyze the Fed's actions and yesterday Bernanke indicated QE2 will cease at the end of June. But I expect another quantitative easy should the economy go into decline.

BUT if the economy goes into decline, there might be an associated deflation.

I'm in a total quandary about the future. For me, I'm holding. For you, if you had a great run in TIPS over the past three years, you could move a portion out of TIPS at this point.

Long term the dollar is toast and inflation will dominate, imo. That's why I will continue have a core holding in TIPS.

It's not an easy decision and the charts say to take profits.

Good luck