Today we will talk about treasuries (10year US Notes) and stocks (S&P500).
Well, as you may already know, treasuries and stocks are more or less in negative correlation and what we have noticed that 10y US Notes can be forming a big bullish triangle, while S&P500 can be finally finishing a five-wave rally from lows.
In EW theory, triangles are...
The US fiscal deficit for the fiscal year 2018 was just reported to have increased to $779 billion, or approximately 4% of GDP for the period. As Reuters notes, the deficit has been the largest reported since 2012, during a time when elections were coming up and the economy was still at a low interest rate environment and perhaps also in need for more government...
Bearish below 120.40 to 116.00. This trade is probably gonna take a few months to play out.
Price reacted off previous support and now resistance. Clear levels to take the trade off.
Good trading and cheers!
PS: Not any form of investment advice.
The very first thing that I want to point out is, this is a weekly chart. That means, it may not be trade-able. But you can always use it for portfolio management and adjustment.
Note that the 10 years is the most important instrument in the world as it is the risk-free rate used by many major funds. Thus it has major implications to other asset classes including...