Lo and behold, after I'd pointed out here that Treasuries (shown via TLT below) were readying to break upward from consoludation, they pulled back deeply but have started upward again. The move looks good and a reasonable target in TLT is $101/102. The wave structure suggests that it can get beyond the 200-day moving average. I view it as working on a large B wave that can retrace 50% (or more) of the drop. I'm not seriously expecting it to go to new highs.
Conversely, LQD has chopped into the $105+ range where it's vulnerable to a pullback or correction. The daily chart doesn't confirm a sell yet, but it's looking closer. Once it launches into a reversal pattern, we should able to see the likelihood of retracement levels for such a correction .
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