TBT Divergence?

    Posted by magann14 on 15th of Dec 2010 at 01:01 pm

    I have been going through the daily, 60 min, 30 min and 15 min chart for TBT.  I am seeing a little negative divergence but only on the 15 and 30 min on the RSI 14 and MACD.  Does anyone have thoughts on exit points from this trade? 


    39.95 intraday...close enough for government work?

    tbt

    Posted by freddy123321 on 15th of Dec 2010 at 01:25 pm

    at top of channel, trim or sell

    tbt

    Posted by vaellen on 15th of Dec 2010 at 01:39 pm

    is at the top of the channel, most likely would be good to take profits.

    Bonds are trash but TBT

    Posted by ditch on 15th of Dec 2010 at 01:07 pm

    Bonds are trash but TBT is over bought, watch the channels on it and TLT and trade when they bounce off the trend lines.  TBT   resistance $40.60 and TLT support at $90

    Well, there is a DeMark

    Posted by PA on 15th of Dec 2010 at 01:06 pm

    Well, there is a DeMark weekly buy signal on the TLT, and also now a daily buy signal. Look how good they have been.

    Intuitively, one would normally say that with yields having risen quickly, and with sentiment so negative on  treasuries (and with pundits now coming out and saying bonds have topped, even though they topped weeks ago), it makes sense that portfolio managers will tweak portfolios and shift back to treasuries a bit coming into the end of the year because they can also meet their fiduciary responsibilities that way (take risk off, in their way of thinking). So short-term, what I have done is sold my TBT today, buying TLT - for a bounce.I think bonds are over, but they can snap back for a while.

    YMMV - caveat emptor and use stops.

     

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