- US 10 Years Government Bonds(Yield) US10Y experienced a pull back in the fourth week of August, after having rallied previously for five (5) consecutive Weeks, printing only green *W candlesticks. The Weekly pullback retraced to a Weekly price level of 4.09% for U10Y (key level marked on dashed green line)
We can clearly see DXY being dragged higher as well during Yields uptrend (indicating a weak and fearful state of other Major Financial Markets).
Seen on Weekly Timeframe, we can easily spot a triangle pattern being formed on US10Y. Triangle Pattern's Apex can be stretched as far as 238Days from where it currently is. In case Pattern is violated to the downside, a considerable Support-Resistance zone lays just underneath dating back ever since 1912. Below that would be the catching up dynamic support of 200EMA on the Weekly, as well the support-trendline coming from Pandemic Lows.
US10Y uptrend resumption seems very likely from here, especially after bouncing at the key level marked on dashed green line. What is more important to be monitored is the correlation of DXY going higher in the same time with US10Y . That would be a nightmare scenario for an investor, and a golden opportunity for those who are on the sidelines and waiting to be heavily invested in diversification .
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US10Y 'Planning Ahead of Time' (zoomed in from *W to *D (tf)
* What to look for regarding entries opportunities on one of the Biggest Market Cap. Traded Financial Market
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(play button press on released idea)
Are US10Y headed higher at *Monthly levels as high as 6.8 % and above ?
One thing for certain, Bond investors are having the time of their Life !
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US10Y -Bullish Week/s Ahead? (updated) { post 'PLAY' button }
Technically (TA) Speaking;
Jumping of previous Resistance Level [BoS & Triangle's Ceiling ] which should now Hold as Support (retest) ; in order for further-more potential upside continuation
Zooming in on the Daily *tf , we can see price action reacting positively nearing the up-mentioned Multi Level. Just below it , 200EMA coming up just in case price gets slapped from 20 and 50 EMA cross-over (200EMA can also be used as more tolerant Stop Loss from here)
4.089% dashed line level would be a great buying opportunity, however, fundamentally speaking, there is an on-going issuing of United States Treasuries, anew added to flood on system. Demand interest is currently very high on US Yields! While only the fundamentals alone are proper enough to drive this market up on its market cap, TA is there to reinforce this bullish narrative
TRADE SAFE ! Note that this is not Financial Advise . Please do your own research before partaking on any Trading Activity.