The SG10Y Bond Yields spiked and got back into the range. Then it spiked further today attempting to breakout from the Gann Fan trendline. MACD somewhat supportive but not yet crossed over.
An early indication of an imminent retracement (indicated within the range).
Any further and stronger break would suggest a bigger correction incoming; IMHO, overdue.
The SG10Y had been previously established to be a reliable indicator of the US S&P500 index, and US markets in general. It has had a 100% read accuracy in forewarning of imminent volatility, particularly when the SG10Y breaks out of trendlines.
So the end of the week saw Nvidia spark a rally in the S&P500, and closing at record highs for the week.
Usually, I...
Track record of tracking the SG10Y yields in giving heads up to the S&P500 or US market direction has been quite uncanny...
This time, the technical outlook for the SG10Y is suggesting a breakout, and in doing so, should see market volatility to the downside.
MACD is suggesting a potential breakout, as is a recent close to the high and breaking the Fibonacci...
Back to this set of chart overlay...
So, it is where it isand the SG10Y Govt Bond yields are again rocketing. This is yet again to push the SPY further down. Combine this with the double top seen recently; probabilities stack up for more downside into November.
And so we have a clear break out of the SG10Y again.
And based on previous inverse co-relationship, the US equities should be retracing in a down cycle.
The thing is that for now, at least in the short interim, the US equities appear bullish and is likely to stretch further upwards.
This co-relationship is either being tested or has been broken.
For now, the...
As mentioned in previous heads up over the last weeks, it had finally happened (as expected) that the SG10Y GB yield rates break out of trend line resistance. And from previous occurrences, this is a very reliable inverse leading indicator of the SPY (and other related equity indexes); meaning that the SPY should be tanking downwards within the next week or...
Conditions appear to be shifting really quickly... just a few days ago, it appeared that the SG10Y Govt Bond was going to break a low and go further down, sending the correlated S&P500 (and other indexes rallying up. BUT, it brooke down and recovered very quickly. NOW, it appears to be ready to break UP and out of the downtrend line. This has happened before,...
Time to review this weekly chart which appears to gain even more importance in giving the insights... Noted that the SG10Y Govt Bond Yields continued to drop, and broke down a support to close at a 9 month low.
Also note that since tracking and projecting (the previous dotted green arrow), the path of the SPY (blue line) was on point and closed higher to the...
Time for yet another update in this uncanny inverse relationship between the SG10Y Government Bonds and the S&P500 Index ETF, SPY...
Recall that the SG10Y GBond yields are in apparent inverse correlation to the SPY. When there is a trendline breakdown on the yields, the SPY is bullish; and when there is a trendline breakout, the SPY is bearish.
So far, it can be...
In a bearish (engulfing) week for the SPY, it appears that there is more downside to follow, which I would expect. Thing is, it appears that the SG 10Y G-Bonds broke down a supporting trendline, giving advance heads up that it would be a bullish rally in the weeks to come.
Previous dotted arrow line is now sold red as the SPY (blue line) moved up for a last...
A rather uncanny comparison, but some correlation observed... the SG Government Bonds are the next level "risk-free" instrument (perhaps not to all, but it is clearly one of the more robust).
Taking the SG10Y and overlay with SPY, some correlated trends are observed...
The yellow lines are the trend lines for the SG10Y, and break outs or break downs are...
Remember this?
Well broken out.
MACD supported, and candlestick suggestive of continuation.
Equity market pull back imminent.
Those buying into SG bonds (a local hot topic these days), you know where this is going...
In an interesting comparison, Singapore Bond Yields precede the TLT (blue line) slightly, especially in the recent year. See the elllipses marking out the break points, and SG Bond Yields are leading.
Noted that the SG Bond Yield has been strongly downtrending, ahead of the TLT bullishess (inversely indicative of the US Bond Yields).
I think it signals the...
