Risk-Off?
I see more risk-off signals in the US stock market than in the past number of months.
Let’s take a look at two of them:
TLT - Ishares 20+ Year Treasury Bonds ETF
JNK SPDR Bloomberg High Yield ETF
TLT is back above the yellow trendline from March 2020.
TLT is also testing the blue Volume-Weighted Average Price from the March 2020 high for the fourth time.
The more support or resistance is tested, the weaker it becomes.
Is this the time it breaks out higher?
JNK has rolled over.
This is a risk-off signal.