Here is a shorter term trade setup using an 11-day divergence of at least 20 points with a confirmation of a close under the highest range.
Target holding period is 11-days OR a break above the 3-day range.
Notice how the signals are at least profitable or trade in the direction of the setup.
A new signal is setting up today.
We now know when Central Banks don't act quickly in putting out fires they render themselves useless in future flash fires. US Federal Reserve acted quickly and bodily.
This chart suggest the Fed is ready to start selling. Which will drive up interest rates and drop TLT.
i can't find this: BofA Merrill Lynch US High Yield Master II Option-Adjusted Spread
Would you able to dig it out from TV and do a comparison with SPX at least from 1998, the spread is making higher high stealthily :-)