TLT Update

Yesterday I posted this, "Filling Out TLT Core Long Position".

For a long time I've been seeing things in TLT's charts that just didn't make sense back then, they continued to show up and I started a position, yesterday I filled it out.

I think the TLT positioning we got yesterday may be the best positioning you could ask for, over the course of the big picture I still think TLT is in a great area, of course I'd want to still look for the best entry possible.

Today TLT has moved nearly 2% from low to high which is a lot for TLT, here's what the daily 3C chart and price candle look like so far.

 TLT Daily, first that's an enormous leading positive divergence/accumulation with 3C hitting a new high.

Second, the candlestick today is spectacular, I don't know if this was a head fake move because of it being a F_O_M_C day and the early data this morning sent yields flying which would have sent TLT lower as they move opposite, either way it doesn't matter much at this point.

The intraday divergence 1 min was positive early this morning so I wasn't concerned and the draw down in the position was so minimal it wasn't even a back thought.

The 2 min confirmed, the concept of migration of a divergence cannot be overstated in confirming the strength of the divergence or underlying money flow.

Look at the 5 min chart,  talk about migration, that's a huge leading positive divergence and these are the strongest kinds of divergences.

 TLT 30 min, you may recall an earlier long position that was closed as this leading negative divergence showed up, I figured they needed to knock TLT down at the time to make new market highs as TLT is a SPY Arbitrage asset, but after looking at it all, I think that was one part, continued accumulation was another part.

The daily chart shows why I had a long position up higher, this entire year TLT has been under accumulation which should tell you something about the degree of trouble this market is truly in.

In any case, as you can see, the recent base area was an excellent place to open and add TLT long positions, this is an exceptionally powerful chart.

Remember, this is a "Flight to Safety" Trade, who is this scared and how much in assets do they have to protect that TLT has been under accumulation the better part of 2013?