Welcome to the TFC Commodity Trading Forum.
Please feel welcome to join in on these informative ongoing discussions about trading futures and commodities.

The Trading Forum is intended for the open discussion of commodities trading. The management of this Forum does not agree or disagree with the ideas exchanged, and does not exert editorial control over the message posted herein. Read and post at your own risk. The risk of loss in trading or commodities can be substantial. We discourage the use of this Forum to promote trading that is acknowledged to be risky. Please note: many links from the Forum lead to pages on other web sites. We cannot take responsibility for nor endorse the information presented on those sites.

TFC Commodity Trading Forum

Re: Bond ETF:TLT/ Bouncing off Support/S.Bear *PIC*

Well like you suggested yesterday being an ETF it may not come all the way back to the breakout pt for a test. There are also two breakout pts. One being $20 and the next one being $20.50 which was the Oct low support that broke down in Nov and couldn't re-clear it until recently. So price may hold at $20.50 with lots of price history there. Being a double bear ETF TBT will be prone to over react and likely pullback to between $20.50 and $20.00 and consolidate there just to drive traders crazy. I lose my patience with markets that do that. That is also the 20ema area that should hold as support. But a close below $20 that holds would suggest this was a false breakout as well. Technicals suggest this is a valid stage #2 breakout of a 4 month base building pattern after a bear market so I don't expect to see price back in its old channel again below $20. (not that it cares what I expect) Lower techncials suggest this isn't just a dead cat bounce as well. Only the short term shows an overbought market that is presently correcting back to the breakout 'area'.