HYG: make or break on the monthly, could seriously impact stocks

Over the last 13 years, some of the most spectacular crashes in high-yielding bonds have begun with a monthly rejection at falling channel resistance. Equally spectacular rallies have followed, yet the bear trend remains stubbornly in place. I can't help but notice that the candle formation over the last two months looks eerly similar to the one of last year, at the beginning of the covid crash. In both cases we have a dark cloud cover candle, followed by a confirming bearish candle. In this year's case, the shade of the second candle (a shooting star) surpassed the height of all previous candles, where prices were forcefully pushed lower. Some traders consider this to be one of the best entry signals to go short the underlying asset. If HYG falls back into the bear channel, things could get rough for high yielding bonds, and stocks too! Remember to check on this one in 30 days, to see if the month of March confirms this ominous picture. If so, we're definitively gonna need more BRRRRRRRRRRRRRRRR !!!