— Greg Harmon (@harmongreg) January 15, 2020
Today’s Chart of the Day was shared on Twitter by Greg Harmon (@harmongreg). It’s a daily candlestick chart of the 20+ year Treasury Bond ETF, $TLT. Greg points out that the ETF broke out of a falling wedge pattern today. In yesterday’s Chart of the Day, we highlighted the fact that US Treasury yields were setting up to break out in one direction or the other. Today we got the resolution that we were waiting for, with Treasury yields breaking lower. We saw the implications of falling rates immediately today. Bonds broke out, and safe assets such a Utilities, Real Estate, and Precious Metals all caught a bid. This type of price action begs the question, will the safety trade we saw 2019 reaccelerate in 2020? Let us know what you think; tweet us @TheChartReport.