30-Year Bond: For all the trades we found thru the FOMC, nothing changed in the market…the bulls can make a run for 137.09, 137.20 (best resistance) and 137.25 IF they can take out 136.11…the downside starts with 134.26 with trade thru 134.16 helping to put pressure on
132.20 (fade).
10-Year Treasury Note: The bulls need 124.20 which lets them go after 124.315 and ideally the 125.19 mentioned in the previous letter… First weakness comes with a failure of 123.19 (decent support).
5-Year Treasury Notes: While the bears can stay in the game by holding any one of 118.31, 119.055, or 119.145, until they take out this pivot the
market can’t break. I feel the bulls gain a bit more control if THEY take out 119.055.
S&P500 Stock Index: Losing this pivot will take some late longs out of the market/bring some profit taking. However, to get any measure of weakness we’ll need to see trade take out the very critical 1930.75. Upside, 55.50 COULD be a top – but I’ll look more for 70.25.
