Trade carefully. Looks like bond will follow the new parallel channel. I marked then as LIGHT GREEN Lines. Also a dotted red line incase any one of u want 2 short safely. I would like to wait for few months or weeks till the price breaks the deep green line and then hits the lower channel light green line to go long. But if the lower green support line has been...
RSI divergence on the weekly chart points to a future bearish movement. Previous bullish RSI divergences worked well to predict an incoming uptrend
I will wait for some pullback to consider going long on bonds to hedge stocks in case the market situation gets worse
As we can see on the graph, the Stoch RSI is gradually weakening as we reach the high point of 2015 for the corporate bond. Although a very slow trade, we can look forward to seeing a gradual profit with very low risk to return.
if you like risk join the bitcoin world :P maybe just maybe risk off in 3 2 1 ..... ?
Getting nervous yet? Spreads contract, equities typically run higher and vice-versa. Well, spreads have been expanding and yet equities have surged higher. Small caps have not participated like the SP500. Perhaps one is lying? "Long" spreads expanding. Some reading from the NBER National Bureau of Economic Research: Credit Market Shocks and Economic...
INVESTMENT GRADE VS. HIGH YIELD (JUNK) CREDIT SPREAD Bottom was around start of taper
For those of you that prefer shorter term charts, here is a daily of the $LQD Same double bottom pattern on $TLT, $BND