Loading ...High Grade Bonds have CRASHED!
Look for them to potentially confirm the next sustained rally in US equities… they did in 2008…
Edit..note in 2015/16 and 2018.. lqd did not crash… this is severe! Expect more losses in markets until we see a strong bounce up.
If you plot ratio of IEF to LQD it just blowout to upside. That means flight to safe heaven from high risk .
Credit spread widening for some time. sign of major turn. Warnings were posted under Credit spread.
Thanks for that ratio Bikoo.. I will do some charts with it, looks awesome.
Please let us know when turn start?? Thanks.
Yes. This is a generational crash.
My own LQD start suggests this is just the first move down.
Expecting a rebound at some point, but a lower low after that.
Will reassess at that point.
But the true picture of what’s before us, markets wide,
… imo, can now only be visualized using QUARTERLY charts.
Every other time frame is now open to easy mis reading.
This move is turning/reversing things at VERY HIGH DEGREE.
Reversals in direction for what had been going broadly in one direction for decades.
Yes. And barely no wick below candle… no buying pressure observable for lqd… its the “falling rock”.. And also, sometimes the opposite move is exaggerated… so 2008 lows could easily be touched. From ashes to ashes…