EQR > 70.661. All time high
2. Consolidation
3. After Shake-in Candle
Q: 170
Tp1: 74.18, Q: 90 ( 2R)
TP2 - ??, Q: 80
EQR trade ideas
PAIRS TRADE: Short EQR (Reit) vs Buy HYG (Junk Bonds)EQR is outperforming High Grade Corporate Bonds. They typically move together but this time the rental income to EQR has moved up lately and it is driving the shares higher. But it may have gone too far as now HYG has lagged too far behind. Greed and a new high may be getting the bulls too excited here. Buy HYG and Sell EQR and make money when the spread comes back together.
Note the spread widens out and comes back together. Three examples posted.
Risk 5%. Reward 10% Probability of a Win in the next 60 days: 50% guess.
Tim 1PM EST 10/29/2014 Wednesday HYG 92.54, EQR 67.88 last.
Possible ascending triangle patternWould enter the stock at the next pullback. Stock probably will go down since it's at an R1 pivot point. Pattern is almost complete, waiting for a pullback. Price target would be around $60, this is more of a long-term play.
