alice

NFTRH; Pictures From the Counter-cycle (Utes, T bonds & Gold)

A couple weeks ago in NFTRH 434 we introduced this chart, representing some of the more counter-cyclical items vs. the S&P 500 (SPY).  I already own some gold miners and long-term Treasury bonds (TLT) and noted an interest in Utilities (XLU, since added per NFTRH 435).

counter

Taking a look at the nominal daily chart of XLU, this item added as a balance to long positions is moving up nicely.  This in conjunction with my continued slow but steady selling of stocks and raising of cash.

xlu

Meanwhile, the inflation protected TIPs fund is in a similar looking stance.

tip

While TLT (unprotected long-term bonds) continues to look constructive at least, to form a bottom of some kind.  Recall here how over bearish the public became as it became over bullish on the stock market.

tlt

Gold (GLD) meanwhile, is jumping to a new recovery high as well.

gld

What the above does for me is keep me on the path of profit taking (and in some cases, loss-limiting) and raising cash.  Each of the above items can provide balance to a long portfolio as well.