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30-Yr U.S. Treasury Bonds (US) Futures Technical Analysis – October 28, 2014 Forecast

By:
James Hyerczyk
Updated: Aug 25, 2015, 03:00 UTC

December 30-Year U.S. Treasury Bonds continued to consolidate slightly above a major 50% level at 141’05. The tight and narrow ranges the past two days

Daily December 30-Year U.S. Treasury Bonds

December 30-Year U.S. Treasury Bonds continued to consolidate slightly above a major 50% level at 141’05. The tight and narrow ranges the past two days suggest impending volatility. The trigger for the next rally will be overtaking a pair of uptrending angles at 142’05 and 142’19.

Daily December 30-Year U.S. Treasury Bonds
Daily December 30-Year U.S. Treasury Bonds

The tone of the market today will be determined by trader reaction to the 50% level at 141’05. A failure at this level could trigger a break into the next uptrending angle at 140’15, followed by the Fibonacci level at 139’22.

Overtaking 142’19 will be the best sign that buyers have returned to the market. The daily chart indicates there is room to the upside with 143’16 the best target today.

The main range is 135’13 to 148’00. Since the main trend is up, a test of its retracement zone at 141’05 to 139’22 could attract buyers. It is possible, however, that this retracement was already completed when the market reached a low at 141’07 last week. Only with a breakout and sustained move over 142’19 can one be sure that a short-term bottom has been reached.  

The tone of the market today will likely be determined by trader reaction to 141’05. Holding above it will give T-Bonds a strong tone, but don’t expect an acceleration to the upside unless 142’19 is taken out with conviction.

A failure at 141’05 could trigger selling pressure down to 140’15. 

About the Author

James is a Florida-based technical analyst, market researcher, educator and trader with 35+ years of experience. He is an expert in the area of patterns, price and time analysis as it applies to futures, Forex, and stocks.

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