Wednesday, January 7, 2015

Junk Bond ETFs Don't Look Too Trashy This Morning

Updated HYG chart below.  I added a support line that was omitted from yesterday's post and highlighted the reaction points and zones that were used to draw the long-term support lines since this may not be obvious.

The day has just begun, but early price action so far suggests that support may hold with HYG still up about 0.70% as this is being written.  As long as support holds, the long-term trend would still be positive (as the long-term support lines both have a positive slope).

Click Chart to Enlarge

Not Investment Advice | Important Disclaimer: 
The content in this article, including the identification and discussion of any specific security (e.g., bond fund), is NOT meant to be and should NOT be construed and/or used as investment advice. This article is for general information and educational purposes only. Please read the Disclaimers  for in their entirety. The U.S. Securities and Exchange Commission website has guidance on selecting an investment adviser.

Financial Disclosure:
The author/publisher has positions in several corporate high yield bond funds at the time this article was written.

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