According to Yahoo!Finance, the high yield junk bond fund iShares iBoxx $ High Yield Corp Bond ETF (HYG) “seeks to track the investment results of the Markit iBoxx® USD Liquid High Yield Index (the ‘underlying index’).”
Since 2007, HYG has had the following performance:
We have provided upside targets based on the intermediate peak of April 8, 2013 at $96.29 and the low of February 11, 2016 at $75.59.
It can be safely said that HYG has a long-term trend with a downside bias. All HYG needs to do is exceed the $92.87 to confirm a “stable” and “improving” market for high yield instruments. Until that time, speculators in high yield products should pay close attention to the prospect of a potential double top and resistance to the long-term trend in the market that has been in place since 2007.