I thought I'd share something very interesting, that may occur in the upcoming weeks, the upcoming months.
Looking at the US Bond Yields, we see it forming a rising wedge pattern.
In Elliot Wave Theory, it is called a leading 5th wave diagonal.
The past weekly candle closed as a tweezer top AND finding resistance at the 0.786 fibonacci extension level.
This may signal a bearish reversal of conditions.
Now you all must be thinking, "Oh no... Not another Bearish idea from this guy..."
HOL'UP. WAIT A MINUTE.
A decrease in bond yields tend to have an Inverse Effect on asset markets.
When Bond Yields decrease, It means investors are more likely to allocate their capital away from bonds (safe-havens) to high-risk high-reward investments. Vice versa when bond yields increase.
Just a few closing thoughts, please keep in mind that although it is a bearish pattern, we must not assume a reversal until Price breaks down from this wedge.
I hope you all really enjoyed my analysis on the US10, fellow traders! 🥰
Take care, God Bless, & let's kill it at the charts! 🥰🥰
Looking at the US Bond Yields, we see it forming a rising wedge pattern.
In Elliot Wave Theory, it is called a leading 5th wave diagonal.
The past weekly candle closed as a tweezer top AND finding resistance at the 0.786 fibonacci extension level.
This may signal a bearish reversal of conditions.
Now you all must be thinking, "Oh no... Not another Bearish idea from this guy..."
HOL'UP. WAIT A MINUTE.
A decrease in bond yields tend to have an Inverse Effect on asset markets.
When Bond Yields decrease, It means investors are more likely to allocate their capital away from bonds (safe-havens) to high-risk high-reward investments. Vice versa when bond yields increase.
Just a few closing thoughts, please keep in mind that although it is a bearish pattern, we must not assume a reversal until Price breaks down from this wedge.
I hope you all really enjoyed my analysis on the US10, fellow traders! 🥰
Take care, God Bless, & let's kill it at the charts! 🥰🥰
Comment:
We finally see a break to the downside on US10Y.
This is a bullish sign for all riskier asset classes (ie. Stocks, Crypto)
Just the little rally we've all been waiting for during the Bear Market :)
We finally see a break to the downside on US10Y.
This is a bullish sign for all riskier asset classes (ie. Stocks, Crypto)
Just the little rally we've all been waiting for during the Bear Market :)
Although DXY saw a nice push to the downside, most would have overlooked the US10Y chart was up 0.75% this morning.
What does this mean?
Money is leaving the market and moving to safe-havens
As shown in the chart, we are still creating bullish market structure (HL, HH). Until the US10Y breaks this trend AND structure, my bias is still bearish.
Although we are trading Cryptocurrency, we must also keep watch of other markets (bonds, indices, stocks, etc.)
And that is why I'm here fam.
To monitor any changes in the market for all of us 🥰