The ratio of Junk to long-term Treasury bonds is an indicator of the will to speculate in financial markets.
Is the large relative sell volume a sign of capitulation prior to a new stock rally as it was in June, or does it mean business this time?
Regardless, Junk/Treasury ratios have been negatively diverging the stock market ever since Trump was elected president. So let’s not blame this negatively diverging market indicator on what is going on currently between our Tweeter-in-Chief (TiC) and North Korea’s Lunatic-in-Chief (LiC).
Subscribe to NFTRH Premium for your 40-55 page weekly report, interim updates and NFTRH+ chart and trade ideas or the free eLetter for an introduction to our work. Or simply keep up to date with plenty of public content at NFTRH.com and Biiwii.com. Also, you can follow via Twitter @BiiwiiNFTRH, StockTwits, RSS or sign up to receive posts directly by email (right sidebar).