 |
Above chart dated April 16,2014 - courtesy of stockcharts.com |
TLH - iShares 10-20 Year Treasury Bond ETF
JNK:TLH is the ratio of the two. When the ratio is in a confirmed uptrend then it is suggesting a Risk On market. When the ratio is in a confirmed downtrend then it is suggesting a Risk Off market. Note what happened in June - August 2011 in the top chart and again in 2012.
As of today, there is still a negative divergence in this chart...
The JNK:TLH chart is not confirming the high in the SPX with a corresponding high in the JNK:TLH chart... The JNK:TLH high was recorded on or about December 31,2013...
In June it looked as if this indicator was going to reverse to the upside and the red line was going to breach the blue line to the upside, but, in July the JNK:TLH ratio declined below both the red and blue moving averages.
As seen at the top of this blog, maybe it is best said as follows... "Confidence is contagious. So is lack of confidence" -Vince Lombardi
This has been posted for Educational Purposes Only. Do your own work and consult with Professionals before making any investment decisions.
Past performance is not indicative of future results.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.