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Exercise #6
2.) Taking a look at the iShares Lehman 20+ Bond Fund (TLT), we can make which of
the following statements:
Your answer was A. The chart remains on a buy signal so it would suggest
higher rates and higher prices for the TLT.
That is incorrect. The TLT chart has given a quadruple bottom sell signal at 93. This would suggest the TLT is poised for lower prices. Lower bond prices correlate to higher rates.
Go back to the question.
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