by Chris Kimble
US authorities bonds have come beneath stress over the previous yr. And that decline has come to an vital inflection level.
Time to bounce larger? Or will authorities bonds proceed to sink decrease?
That’s the theme of at present’s “weekly” chart from Marketsmith.com, of the favored long-dated US Treasury Bonds ETF (TLT).
TLT’s decline stalled out at a preferred 7-year assist/resistance line at (1). It has since traded sideways for the previous 3 months and is toeing this vital assist line at (2).
One thing has acquired to offer… If patrons step to the plate, we might see a tradable bounce/rally in authorities bonds. Nonetheless, if this vital assist line fails to carry at (2), then TLT will proceed to sink! Keep tuned!
This text was first written for See It Markets.com. To see the unique publish CLICK HERE.