If shares of TLT are any indication of money flow from bonds to stocks, they’re indicating a possible rally for the stock market.
Two 100% retracements on the daily chart is a bearish sign. If TLT is to continue up, it must retrace 100% to the next pivot, and the same to reach the high. You also have a lower high on the daily, and a lower high on the 15-min chart of TLT.
TLT “seeks results that correspond generally to the price and yield performance of the long-term sector of the United States Treasury market as defined by the Barclays Capital 20+ Year U.S. Treasury index. The fund generally invests at least 90% of assets in the bonds of the underlying index and at least 95% of assets in U.S. government. It may also invest up to 10% of assets in U.S. government bonds not included in the underlying index. The fund also may invest up to 5% of assets in repurchase agreements collateralized by U.S. government obligations and in cash and cash equivalents.”
A break below that daily support would confirm a downtrend. Stock market bulls should find that beneficial. I took some QLD long on it’s higher low 15-min chart after the lower high triggered on the TLT 15-minute chart.
