Ascending triangle on short bond at cycle lows. Price action today is confirming the trend. Worth watching as traders seem to be pricing back in a "lower for longer" trajectory on interest rates.
AGG trade ideas
AGG/SPY Most Important Chart? (Part 1)Ratio chart of iShares Core U.S. Aggregate Bond ETF (AGG--the most widely held bond ETF) to SPY (i.e. AGG/SPY).
Shows bullish forming saucer (or rounding bottom) in AGG against SPY...i.e. that risk-off (AGG) looks to be putting in bottom against risk-on (SPY). Also has bullish RSI divergence.
See bottom in 2007 for similarities.
AGG price stalled out. Bear divergence Price has stalled out around 110. Bear divergence in MACD and RSi similar to spy, and other major indexes right now
Bonds, like vegetables, are good for you. We had a little concern in the junk bond market. Overall bond market seems quiet. No smoke, no fire.
Candle Over Strong Resistance ZoneTodays candle went over a strong resistance zone, look back and notice who many times price tested this zone, now it just needs to close over to stay confident. Also Bollinger Bands are still expanding, also good indication to stay long. I still stay with target "at least" around 108 I posted on
Falling Triangle Finished its Formation. This pattern suggests that once formation is finished, price should move up to the same amplitude of first wave of pattern.
AGG Finding Support on Lower part of the Falling WedgeAGG finding support on lower part of the falling wedge. This Bond should rise up to the upper part of the wedge. Spike on volume can also suggest it breaking through the upper part of the wedge.
AGG/SPYOnly time will tell where the market will go, but sure is interesting trying to forecast. As of 11-1-2013 Spy still in charge. Will we run till 2014 then get a pullback as we did in 2007? lets hope, but be prepared for anything with the Fed fully in charge...
F Fund For Federal Employees, looks like its restoring. Looking at the monthly chart, we can see a clear parallel channel. Also note how this market has tested these lines since 2006.
