Forget Stocks...Bonds Quietly Rallying Today

Discussion in 'Trading' started by MKTrader, Sep 13, 2010.

  1. MKTrader

    MKTrader

    If this keeps up, the AGG may have a bullish engulfing candle just above its 50-day MA. Since bonds have been so inversely correlated to stocks recently, this is quite the divergence (among many others in the market).

    Bond traders or stock cheerleaders? I think I know which ones to listen to...
     
  2. Tsing Tao

    Tsing Tao

    me too.

    cant escape the curse of fixed income.
     
  3. MKTrader

    MKTrader

    Sometimes bonds and stocks still go up (or down) together when there's a Fed statement or other interest-rate related news. But since there's nothing like that today, it looks like quite a divergence.
     
  4. Tsing Tao

    Tsing Tao

    [​IMG]

    agree that it can happen for a while. but not forever. fi always wins in the end.