Has High Yield Found Support?

Sorry for the lack of posts last week. I was out-of-town at a BBQ competition down near Louisville, KY and stayed pretty busy with that. Had a great time with family but now I’m back!

This week’s post for TraderPlanet takes a look at the high yield corp. bond space, specifically $HYG. It seems the ETF has found some support and I take a look at those levels and what I’ll be watching going forward.

Here’s a piece:

With this weakness it seems high yield corp. bonds have found some support. Looking at the uptrend that began in November and was halted in May, HYG has retraced 50% of the move. This is healthy and commonly viewed as normal market action. The bond ETF has been able to stay above its 200-day moving average (orange line), which has continued to rise and may act as additional support if HYG drops further.

Go read the rest: Has High Yield Found Support? (TraderPlanet)

Disclaimer: Do not construe anything written in this post or this blog in its entirety as a recommendation, research, or an offer to buy or sell any securities. Everything in this post is meant for educational and entertainment purposes only. I or my affiliates may hold positions in securities mentioned in the blog. Please see my Disclosure page for full disclaimer. Connect with Andrew on Google+, Twitter, and StockTwits.

About Andrew Thrasher, CMT

Andrew Thrasher, CMT is a Portfolio Manager for Financial Enhancement Group, LLC, an asset management firm in Central Indiana and founder of Thrasher Analytics, an independent financial market research firm. He specializes in technical analysis as well as macro economic developments.