This monthly chart of IEF
- an ETF
that tracks the performance of 7-10y U.S. Treasuries, shows that despite the media talk about rising rates, the upside trend in treasuries could have some more time to go before starting to go south. The MACD
is positive with no bearish
divergences, the Stochastic
is still not entirely in the overbought state. Basically no serious warning signs.
The monthly chart of TLT
that tracks the performance of 30y U.S. Treasuries) presents almost the same view.
Such a prolonged increase of treasuries prices, respectively a decline of the yield, also implies the FED might take some more time before starting to rise interest rates.