Why It’s Critical To Follow This Bond Level
The 30 Year Treasury Futures
(
US03M |
Quote |
Chart |
News |
PowerRating) are hitting key Fibonacci price
resistance from 113`20 to 114`28. What is interesting about this resistance area
is that we also have a Bearish Gartley pattern completing into this zone. We
also have a couple of time cycles pointing to a potential reversal to the
downside over the next couple of days.
 So if these parameters hold
and price reverses down, it presents a short opportunity in bonds. Also, if this
contract is headed south, the major stock indices are likely headed up. However,
if this pattern and price resistance is ignored and US03M pushes above 115`00, I
would vote for new highs to develop in this contract and for stocks to fall into
a corrective phase.
Bottom line: It is critical to follow what
Bonds do around this 113`20-114`28 range.
Have a great night!