Stock Market Viewpoint

Stock Market Viewpoint
Reading the Tea Leaves...

Friday, July 25, 2014


Stock Market Technical Analysis Blog

Click on image to enlarge

Tonight I would like to take a look at bonds.  The lower chart above is of the TLT (20yr bond ETF) with two rather large EMAs applied.  The upper chart is the S&P 500.  Both show 8 years of weekly bars trading.  Notice in the TLT bonds chart that each time the red line gets on top of the green line and starts pushing up from that green line, the stock market sells off and bonds rally as investors jump over to bonds for a while.  We are once again in that red/green EMA line lift situation in the bond market with all eyes on the stock market to see if history repeats itself.

Trade well  my friends