VGLT $VGLT Continuation Short. This is a pure momentum signal just as are every other signal I post. ZERO other factors are considered in producing this signal. Entry reasons: VGLT is showing momentum and confluence of mean reversion crossing up the 70 day price mean. Exits and SL: TP and SL on chart. Move SL on TP. After TP2, trail with 0.5xATR step and 1.5xATR offset.
Generally a long Inverse correlation to SPY. This fund is useful as a highly divergent indicator to SPY. Long
nice support on price as well as rsi low point has proven to be a decent entry. LONG. which also means I dont think rates are going much higher
After a devastating drop due to rising 10-year yields, the VGLT treasury bond fund is sitting right atop strong support at both the 200-week moving average and the 50-month moving average: My guess is that for purely technical reasons we get a little bounce from here, with a green day for bonds and a red day for financials tomorrow.
Earlier this year, investment bank JP Morgan smashed estimates because it had bought a bunch of long-term bond funds ahead of last year's interest rate cuts, and the funds increased in price accordingly. (When rates go down, long-term bond prices go up.) I've been expecting futures markets to start forecasting an interest rate cut, as they did today, but it didn't...