timwest
Long

High Yield Corp Bonds HYG Daily - Gave us an early warning

AMEX:HYG   ISHARES IBOXX $ HIGH YIELD CORPORATE BOND ETF
225 2 1
I published this "late" call back in February as HYG             was bottoming. The chart then was the gray triangles. At the time, we couldn't graph the DIVIDEND payments, so I painted them in blue "arcs" on the chart. The divs are on the first of every month and are roughly 45 cents each time +/-. Note that the ATR rose into "RISK" mode in mid-July as the price fell, implying that sellers were getting aggressive and prices were slipping. Typically, you will see selling in High Yield Credit first to indicate that it's time to take money off the table in equities. The current rise in "RISK" is to the same level as back in February, so it is at a key level here of 0.40 (the 10-day Average True Range ).

I think a bold trade here is to buy it at 92.22 and exit and go short at 93. The stop on each trade here is 0.50 pts from entry. Target 91.50 on the short trade from 93.

Tim 9:47AM EST 8/1/2014
Subscribe to my indicator package KEY HIDDEN LEVELS $20/mo or a discount for a year and join in the trading room KEY HIDDEN LEVELS here at TradingView.com
Excellent post. Good read
+1 Reply
Going along the forecast so far. Keep your eyes open on this one! Shorts can be on here...
+1 Reply
United States
United Kingdom
India
España
France
Italia
Polska
Brasil
Россия
Türkiye
Indonesia
日本
한국
Home Stock Screener Forex Signal Finder 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 Account and Billing Sign Out