30-Yr U.S. Treasury Bonds (US) Futures Technical Analysis – October 13, 2014 Forecast

December 30-Year U.S. Treasury Bonds closed higher on Friday. The main trend is up so the higher close gives the market an upside bias on the opening today.

T-Bonds are trading inside of a steep uptrending channel. The support line of the channel is at 141’11. The upper level of the boundary is 143’13.

The nearest upside target today is the August 28 top at 141’30 top. This is followed by the May 1, 2013 top at 142’04. A breakout over these angle should lead to a test of the upper channel line at 143’13.

A break under the lower channel line at 141’11 will be an early sign of weakness. This could lead to a break into the former top at 140’16. The market could accelerate to the downside since the daily chart indicates there is plenty of room until the next support angle at 139’27. This is followed by the major support angle at 139’13.

The tone of the market today will be determined by trader reaction to the angle at 141’11.