An investor must determine his or her own tolerance for risk on a position. In terms of Treasury bond futures, the investor will lose $15.625 per every point that the price is over 118'26. The risk of loss is substantial. Selling of options is not suitable for all investors. An investor can lose more than the original investment. Buy a June 116 put option for a premium of $375 or better. This position can potentially profit if bond prices fall below the strike price of 116 at or before expiration. The maximum risk when purchasing an option is the premium paid-in this case the investor cannot lose more than the $375 paid plus $50 in commissions and fees for a total loss of $425.00 I recommend holding this position for no longer than seven to 10 days.