SPY/TLT monthly - make or break - 2/20/2015

Technical profile is similar to that of May 2008. But we need to have an open mind about a possible breakout. We should know the outcome this month, or in March. Generally, a breakout is good for stocks, bad for bonds, and a breakdown is good for bonds and bad for stocks. Keep in mind that stock and bond can go same direction at different pace, so the ratio cannot be used alone.