So I think that we are about to see a reversal in longer bonds. My reasons are:
TLT chart is still bullish and today you can see a perfect doji forming right on top of the trend line shown below in a 6 month chart of the TLT.
The 10 year chart of TLT is still bullish. It is building tension at the bottom of the channel. You could maybe point out a head and shoulders top but the right shoulder is higher than the left.
If rates break trend and rise dramatically, then that is it. We are in for a major credit problem.
Please let me know what you think. Thank you
John
Rates | Ecency
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