30-Yr U.S. Treasury Bonds (US) Futures Technical Analysis – October 10, 2014 Forecast

December 30-Year U.S. Treasury Bonds finished higher for the session on Thursday, but well off the high. This is likely to lead to a flat opening.

The market is trading inside a steep uptrending channel with the lower end at 140’27 and the upper end at 142’29. The close at 140’26 was below the angle, suggesting that momentum may be slowing down.

The last main top at 140’16 is important to watch today because a break back under it will be a sign of weakness. A sustained move under this angle could lead to a further break into the next uptrending angle at 139’19 or 139’05.

If the rally continues then look for a possible test of a pair of tops at 141’30 and 142’04.

The tone of the market today will be determined by trader reaction to 140’16.