Always consider hidden risks
Canadian Bonds ETF XBB: Near Support?
 October 27 2016 ( TradingView  )
If you would like to receive our free daily markets updates, please Sign-Up

​The Canadian Universe Bond ETF - XBB 

​( iShares Canadian Universe Bond Index ETF ) broke on May 9 2016
​a ​huge
​daily ​wedge pattern that started back since February 2 2015.
​ ​​(See First Chart Below- Red Trendline - Ellipse).

We are now within a Daily Wedge Technical Pattern and since July 8 2016, we
​keep making lowerer highs and higher lows, into a price compression phase
shown by ​the ​​first ​​chart ​below.

But the most interesting factor is that ​we are now back near testing the Major Support Trendline from that Wedge that is so critical for Bulls to hold. ​(See chart below - Grey Trendline - Ellipse)
​All that within a rising trading volume. ​(See chart below - Bottom Blue Area Chart - Ellipse)

Central Banks credibility now at risk as Government Bond rates are consolidating worldwide. That should keep investors chasing yield more cautious as they never did before into an old bond bubble zone...

But the most interesting technical factor is that we tested for a fourth time the Weekly Support of that Major Wedge Pattern (that started back since November 2015) for the ​XBB ETF but failed to break it yet. It could become a significant change for the Canadian Bond Market indeed if broken. ​​
​(See Second Chart Below - Thick Blue Trendline- Ellipse)​.


 Canadian Bonds ETF XBB: Near Support?  $BONDS  #Trading #Canada  #investing #bonds #rates #risk #xbb
Daily Chart
​XBB ETF (  iShares Canadian Universe Bond Index ETF  ) 
20 DMA ( Yellow Line )
​​50 DMA ( Blue Line )
200 DMA ( Red Line )
Weekly Chart
​XBB ETF (  iShares Canadian Universe Bond Index ETF  )