| | | A Highly Reliable Indicator to Watch | | | | Indicators help traders spot promising trades. They can be applied to individual stocks or to the broad stock market to asses the likelihood of bull market or bear market. Although there are many indicators, most likely thousands, few have been tested by economists and even fewer are available from the Federal Reserve.
The yield curve is one indicator the Federal Reserve makes available and references in their communications. In fact, this may be the only technical tool they provide for traders in the stock market. They do so because their economists found that it worked.
In our latest article, we explain what the yield curve is and how it is used. We turn to the economists at the Federal Reserve to interpret the indicator and we share exactly what they found in their research, including specific information on the two times the indicator failed.
We explore, in detail:
• How to calculate the yield curve and where you can find the indicator for free.
• How the curve looked before each of the last two bear markets and what it’s long term track record is.
• Why you should follow this indicator even though it is not 100% accurate, and why it could fail to signal the next bear market.
• What it tells us about the current market.
• A unique look at the curve that could make it more useful for traders.
All of this information can be found by clicking right here...
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