I’ve mentioned this in the past that when TLT and SHY start to show up on my momentum scans that the market is usually nearing a trading bottom. However the action in these two markets have been acting slightly odd lately.They normally have an inverse relationshipas shown by the Dow chart layered behind the 20 yr bond for a better visual. As the TLT is rising the Dow falls and then at some point TLT tops and the Dow bottoms out as shown by the arrows pointing out each major top/bottom over the last few months.
However, over the past week they’ve been rising in tandem. To be honest, I really don’t know what to make of this but I wanted to point it out as it caught my eye.
Any thoughts as to how this might play out?