TLT (20-30 yr Treasury bond ETF, or /ZB 30-yr T-bond futures) offers an objective long entry on this most recent divergent low (60m & daily) at support (daily chart). 60-minute & daily charts below.
TLT 60m Dec 23rd
TLT daily Dec 23rd
Based on the relative large but still unconfirmed divergences building on the daily charts of TLT & /TYX (30-yr Treasury yield), additional price targets may be added if this trade starts to play out. As such, suggested stops should be inline with one’s preferred price targets using a favorable R/R or 2:1 or better.
Due to the inherently low volatility of Treasury bonds and the below-average gain/loss potential, the suggested beta-adjusted position size for this trade is 2.0+ (2x or better than a typical trade on the S&P 500 index). One could also consider scaling in here and down to, but not below, the bottom of the support zone.