[JNK] update

If you want to know where risk on/risk off is at or in other words, liquidity/illiquidity is at, look at the junk bonds.  In the backlink to JNK I provided the chart below.




The current snapshot below shows that reality has been tracking the model quite well.  If this continues to follow the model them I would expect resistance at or slightly above the H+S neckline followed by a rapid downward rejection of the shares.  We should see something soon here one way or the other.