The Trader Harbor
  • Business
  • Politics
  • World News
  • Stocks
  • Business
  • Politics
  • World News
  • Stocks

The Trader Harbor

Stocks

Long Bonds Continue to Break Down

by admin January 18, 2025
January 18, 2025
Long Bonds Continue to Break Down

The trouble with bonds is best portrayed by this long-term chart. Bonds were in a rising trend for about forty years, but the trend line was broken in 2022. This breakdown and subsequent price activity implies that bonds are going to be in a long-term falling trend for years to come. Note that the monthly PMO (Price Momentum Oscillator) is deeply below the zero line, a level that hasn’t been reached for forty years. And except for a brief dip in 2018, it hasn’t been below the zero line for forty years. Let’s go to the next chart for a closer look at what has happened after the 2022 breakdown.

After the rising trend line was broken in 2022, the first significant formation was a bullish falling wedge (green lines), a formation that we normally expect will resolve to the upside, which it did. After the falling wedge breakout, a bearish rising wedge eventually formed (purple lines), bearish because they normally resolve to the downside. It broke down in November. Now we can see horizontal support at about 108. The monthly PMO has topped below the zero line, which expresses pure weakness, so our outlook is bearish at this time.

Conclusion: Our long-term outlook for bonds is bearish. With bonds having broken a long-term rising trend line, we have to assume that they will trend downward for many years to come. We should expect occasional months-long rallies, but it is most likely that they will fail.


The DP Alert: Your First Stop to a Great Trade!

Before you trade any stock or ETF, you need to know the trend and condition of the market. The DP Alert gives you all you need to know with an executive summary of the market’s current trend and condition. It not only covers the market! We look at Bitcoin, Yields, Bonds, Gold, the Dollar, Gold Miners and Crude Oil! Only $50/month! Or, use our free trial to try it out for two weeks using coupon code: DPTRIAL2. Click HERE to subscribe NOW!


Learn more about DecisionPoint.com:


Watch the latest episode of the DecisionPointTrading Room on DP’s YouTube channel here!


Try us out for two weeks with a trial subscription!

Use coupon code: DPTRIAL2 Subscribe HERE!


Technical Analysis is a windsock, not a crystal ball. –Carl Swenlin


(c) Copyright 2025 DecisionPoint.com


Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

DecisionPoint is not a registered investment advisor. Investment and trading decisions are solely your responsibility. DecisionPoint newsletters, blogs or website materials should NOT be interpreted as a recommendation or solicitation to buy or sell any security or to take any specific action.


Helpful DecisionPoint Links:

Trend Models

Price Momentum Oscillator (PMO)

On Balance Volume

Swenlin Trading Oscillators (STO-B and STO-V)

ITBM and ITVM

SCTR Ranking

Bear Market Rules


0
FacebookTwitterGoogle +Pinterest
previous post
Obama wishes wife Michelle happy birthday as she stays away from key public events
next post
Capital One outage drags into Friday afternoon, leaving some customers without deposit access

Related Posts

Overbought Conditions Reflect Strength and Said Strength Drives...

March 31, 2024

Election Season: Keep Calm and Optimize Your Portfolio

October 26, 2024

Financial Upswing: Understanding the Stock Market Rally and...

November 22, 2024

The Best Five Sectors, #8

February 25, 2025

S&P 500 Selloff: Bearish Rotation & Key Downside...

March 6, 2025

DP Trading Room: Tracking Gold Sentiment

September 17, 2024

Don’t Buy Robinhood Stock… Until You See This...

May 9, 2025

3 Essential Lessons We Investors Can Learn from...

June 29, 2024

Gold and Silver Set to Smash Records: Could...

May 18, 2024

The Market Breadth Indicator You Should Be Following

May 7, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Apple reveals complex system of App Store fees to avoid E.U. fine of 500 million euros

      June 30, 2025
    • Breakdown of NVDA’s Stock Price and S&P 500: Actionable Technical Insights

      June 30, 2025
    • Thom Tillis announces retirement from Senate after clash with Trump

      June 30, 2025
    • SCOOP: House Republican eyes bid for Thom Tillis Senate seat after Trump attack

      June 30, 2025
    • Dem delay tactic ends, debate begins on Trump’s ‘big, beautiful bill’

      June 30, 2025
    • GOP, Dem senators remain divided over Medicaid after Trump’s ‘big, beautiful bill’ vote

      June 30, 2025

    Categories

    • Business (1,272)
    • Politics (3,873)
    • Stocks (1,477)
    • Uncategorized (45)
    • World News (1,265)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: TheTraderHarbor, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 thetraderharbor.com | All Rights Reserved