AMEX:HYG   ISHARES IBOXX $ HIGH YIELD CORPORATE BOND ETF
I want to start this year with a market I have been watching closely recently, and for good reason. The HYG             , which is the most liquid high yield corporate bond exchange traded fund, has taken a beating over the past few months and looks ready to make another move lower. Not only is this trade attractive from a technical perspective, but the fundamentals are on our side as well given rates are poised to move higher this year.

We can see on the hourly chart below that a breakout over 81 failed to materialize and we are now coming off of near term resistance on a pivot bar. Additionally the momentum indicators are showing more room for downward movement, while volume profile needs to be filled in to the downside.

Based on the technicals, I would like to get short at current levels with a stop up at the bottom of the supply area at 80.68 and a target of 79.00 (3:1 r/r). I will give this trade no more than a week.


@AKWAnalytics
Ideas Scripts Chart
United States
United Kingdom
India
España
Italia
Brasil
Россия
Türkiye
日本
한국
Home Stock Screener Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Billing Sign Out