Always consider hidden risks
US Treasury Bond IEF ETF: Rising Wedge in Jeopardy?
May 19 2016 ( From Tradingview, Bloomberg )
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Since the beginning of the financial crisis, the Federal Reserve
has been obliged to inject tons of liquidity into the system.
Financial assets like the US Treasury Bond had a very good
Looking especially at a Weekly chart on the IEF ETF
( iShares 7-10 Year Treasury Bond Fund ETF ), we can observe that
we are pushing valuation again to the limit as history suggest.
We are within a huge Rising Wedge Pattern on the IEF ETF that started since September 2014 as shown by the chart below.(See chart below - Thick Blue and Red Lines)But few realize that already, that after we failed to breakout, we are back testing the Major Support Trendline of that Rising Wedge that started back since January 2015: FOMC tiny correction wave or a more serious shift for the IEF ETF? (See chart Below - Red Trendline - Ellipse)And it was done lately within a rising Volume on that ETF. (See chart below - Bottom Blue Area)
We will have to monitor carefully in the next few trading sessions...
US Treasury Bond IEF ETF: Rising Wedge in Jeopardy? $BONDS $IEF #Trading #bonds #investing #ief
IEF ETF ( iShares 7-10 Year Treasury Bond )
Volume ( Bottom Blue Area )