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Patterns at hand and Fibonacci resistance are not bullish for TLT.... yet these patterns/resistance haven't caused TLT to breakdown. TLT has traded in a 2% range since the May 17th.
Patterns still suggest lower TLT prices at this time, yet they also did 5 weeks ago!
Everybody is waiting on the dividend at the beginning of July before dumping TLT, then it will be a rush to exit!
Andrew… I won’t be that lucky, no dividend to get when shorting TLT….
Hi Chris,
Doesn’t TLT/EDV track long term bonds? If we are in for a significant slowdown, why would these ETFs decrease?
Aaron
Isn’t this bullish for stocks?
Aaron…. Have been sharing for a while that TLT is at the top of a bearish wedge, while up against 2 key fib resistance levels.
How many times has the 500 index declined 7% in value and TLT moved sideways for 5-6 weeks…not often! Does this suggest a good deal of bond weakness is just around the corner? The huge breakout in yields on the short-term side of the fence should concern short and long term govt bond investors!
http://blog.kimblechartingsolutions.com/2011/06/short-term-yield-rise-a-little-scary-today/
On 6/17 I shared in the “Freaky Friday” post that a short-term rally in stocks was due…this might have something to do with the bond challenges as well.
http://blog.kimblechartingsolutions.com/2011/06/freaky-friday-idea-for-short-term-investors/
Freaky Friday was suggesting that stocks were due a short-term rally…see link below.
http://blog.kimblechartingsolutions.com/2011/06/freaky-friday-idea-for-short-term-investors/