Trend Change time for $TLT? – July 16, 2024
This is Scott McGregor at Scott Trades on Twitter with StockMarketMentor.com and your Chart of the Day. I want to take a look at TLT ( NASDAQ: TLT ), this is the iShares 20-Year Treasury Bond ( NASDAQ: TLT ).
While I don’t normally look at this chart because it’s been in a long downtrend, it actually looks pretty interesting, and it looks like it’s trying to change its trend. So this could be the time to pay attention to TLT ( NASDAQ: TLT ) for a long-term trend trade.
Now, if you haven’t looked at the 10-year yet today, we saw the 10-year come down to March levels here. So it does look like the 10-year is starting to break down, and that’s going to be good for TLT ( NASDAQ: TLT ). As you can see, in March the 10-year really started to break out again. This broke down and now we are getting the inverse of that happening.
From a technical basis, I can see a pretty clear downward-sloping trendline, and a break above that downtrend-sloping trendline, coming on decent volume. Now, it is still early in this trend change, so I think you have time to watch this. Maybe get a little pullback close to the moving averages.
But as you can see, this red line is crossing above that black line. That’s a golden cross, that’s the 50-day moving average crossing above the 200-day moving average. And that could signal, again, a long-term trend trade for anyone who is a long-term trader.
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