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March 03, 2006
Bonds Take A Wild Ride
If you think February was a wild ride for stocks, just take a look at the iShares ~20-year T-Bond Fund (TLT). The bond ETF broke support in January and then consolidated in February. The consolidated featured a gap on 17-Feb and a resistance challenge was on. Resistance at 91.5 held firm and TLT gapped down the last two days. The ETF managed to close above the February lows, but these gaps are negative. Further weakness below 89.4 would be bearish for bonds.
Posted by Arthur B. Hill at March 3, 2006 05:18 AM