Always consider hidden risks
Canadian Corporate Bonds ETF XCB: Back at the Support Zone?
 July 26 2016 ( TradingView  )
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The Situation

​The Canadian Corporate Bond ETF - XCB 
​​(iShares Canadian Corporate Bond Index ETF) ​was trading within a ​huge ​
​falling wedge pattern that started back since February 2015. It did finally
breakout on July 5 2016.​ 
(See First Chart Below- Thick Red Trendline).

Since March 2 2016, we keep making higher lows and higher highs
​​trading pattern, ​​anyway a good technical sign indeed​ as shown by ​the
​​​first ​​chart ​​below.

But the most interesting factor is that ​we are now back testing the Major Resistance ​Trendline ​from that huge falling wedge pattern that is so critical for Bulls to hold. ​​(See chart below - Red Trend Line - Ellipse)
And also testing the Support Line from that Daily Uptrend Channel.
​​All that within a falling trading volume.
 ​(See chart below - Bottom Blue Area Chart - Ellipse)

Chasing yield have become a big commitment from investors on the bond side and also on dividend stocks.
Simply stated, we are again into another wave of yield chasing as investors takes more and more risks to achieve less and less financial return. Sound familiar?


Canadian Corporate Bonds ETF XCB: Back at the Support Zone?     $BONDS  #Trading #Canada  #investing  #bonds #xbb
Daily Chart
​XCB ETF ( iShares Canadian Corporate Bond Index ETF ) 
20 DMA ( Yellow Line )
​​50 DMA ( Blue Line )
200 DMA ( Red Line )