Trips to overbought RSI have produced consolidations to change of trend, however all that have touched the upper channel have caused change of trend.
Overwhelming consensus has been long stocks - short bonds. Are we seeing an inflection point?
Weekly candlesticks of SPY over TLT - i.e. SPDR S&P 500 stocks over iShares Long Term Treasury is pulling back and since new high in Jan 2021 has a long way to go (around 20%) to support.
It does not necessarily mean that stocks will drop.
But it could be that treasuries over perform (and stocks go sideways or even up but treasury prices are just stronger).
This...
All the way back down to blue TL. Could we see a reaction and get a #bond bounce?
$TNX $ZN_F $GLD $GC_F $GDX $DXY $SPY $SPX $ES_F $VIX $QQQ $NQ_F $DIA #Trading #Stocks #StockMarket 📈
back in recent extreme box. Do rates continue to fall putting pressure on growth or does tlt bounce as safe haven with a broad market pull back. Either way it seems like something may snap. In conjunction with the growth to value, its an interesting chart to keep eye on and be aware of. Personal thoughts like everything else. Can I make myself reposition...
Most times you see these divergence (marked in orange box) it is a precursor to a change in trend. Historical occurrences are shown as well as now with the NDX
Another ratio, another possibility. I'm with the red count on this one with the blue count as a more bearish alternative. Despite all the doom and gloom I keep seeing charts that would suggest another leg up for US equities. Or is is just my biases kicking in.....?
Long: TLT / Short: SPY
Almost breaking out of 38.2% Fib levels'
Momentum is growing - 60 MA almost crossing 120MA from below'
Almost breaking out of trendline
Secotor Rotatiion - Equities to Bonds.
PMI's < 50
Probably the most basic rotation investment strategy, is the switching strategy between the S&P 500 US stock market (SPY) and long duration Treasuries (TLT). The SPY-TLT ETF pair is a very interesting investment strategy, because most of the time these two ETFs profit from an inverse correlation. If there is a real stock market correction, then Treasuries like TLT...
