Protectionism leading to growth concerns ... uncertainty around US-China continues to leave that bitter taste in the mouth of yields. All eyes on Australia joining the party next. Will take a miracle to avoid the downturn in the economic cycle; remember yield curves are usually counter directional with changes in the front end policy rate expectations and...
Note: all comments regard yields, not bonds: “new uptrend” = uptrend in yields and thus a bear market in bonds. The recent pullback has left a new higher base above the daily/weekly breakout level around 1.403%. This higher base confirms the primary uptrend and thus strong bullish outlook for yields over the longer term. Our focus remain on the first resistance...
After a period of consolidation and uncertainty the market has finally chosen direction. The multi tested trend line of 2013/2014 has been taken out triggering a trend reversal higher. Yields should rally towards the first projection at 2.05% without too much trouble. On a 6-9 month horizon the main target comes in at ‘a whopping’ 2.69%.
Although the fake news would have you believe that the Eurozone is fast on its way to recovery, it is still mired with issues and the failed Euro is taking its toll on German yields. There is still geopolitical tension, a migrant crisis, and a huge stagnation in inflation that extends to the entire developed world. The Kovach Chande is incredibly bearish and we...
SELL GBP10Y AND BUY US10Y DIVERGENCE ON OVERBOUGHT RSI PLUS MACD DIRECT BEFORE GENERATING SELL SIGNAL , FALSE PREVIOUS FUNNEL BREAKOUT MAY LEAD TO EXTENDED TARGET AS PRESENTED. SILENT ATR SUGGESTS LONG TERM DOWN MOVE