LQD is an ETF that tracks investment grade corporate bonds. www.ishares.com In this study I compare the LQD with SPY that tracks S&P 500 index. Upon review of turning points one can conclude that the corporate bonds start to go down first and recover first hinting the broader market direction. 04/07/2019
From a quick look at the US Bonds (LQD as a proxy) and US Equities (SPY as proxy) price ratio, it seems like money is moving slowing moving back into bonds at the moment. This is most likely due to the poor global economic data that has come out in recent weeks. Time will tell as to whether or not this trend continues. But for now, bonds seem to be the asset of...
NYSE FINRA LQD short sales analysis ...
OBV decreasing meanwhile price increasing...Alert (bearish)
Risk off in US corp debt could suggest a larger slowdown.
For any one that likes Cross assets pair trading. Till US not reaches a deal in Tariffs and Trade war with China.... market will be binomial set up. Be careful with the huge bearish divergence credit is showing vs Equities.
I don't just mean for Investment grade bonds. This will have a profound impact on $spy as well. Co's have been borrowing cheap to buy back stock and issue dividends. This manufactured earnings era will come to an end. Without buybacks, the market will struggle. We will see a recession again, probably withing 12-18 months. How much forward demand has been...
Consolidating, Bollinger Breakout, Volume Increase- We Shall See....
- just a rough idea, if credit started to widen and back to 2016 level .. SPX still a lot more room to dive - it will be more than systematic issue if credit get worse - Bull has to fix the market asap as both LQD/HYG is nosediving now
I like this etf here and this is why: The stock bounced at a very strong support line. The stock also bounced at the 20 MA so that brings more strength to the bounce. What i like the more is the shift of emotions that we see today. So as you can see the stock went down the last couple days but today this is different , the emotions completely change from bearish...