Adjusted on: 8/27 NOTE: FINANCIALS: DEC IS LEAD MONTH FRIDAY US 30-Year Bond: Be SURE to reference 10s &5s (for confirmation) but it is POSSIBLE bonds put in a bottom. The bearish bigger-picture has NOT blown out yet – but the bears MUST get trade back to 132.11 and control that price. There’s no real sense fading this above 133.27 as the market can go after 136.09.
10-Year Treasury Notes: Strength will seek 126.18 – but I think we’ll get fade(s) off 126.095 and perhaps even 126.045. (It won’t be easy for this market to rally). The bears need 125.175 and likely 125.07.
5-Year Treasury Note: As I work thru the letter the only slight confirmation (to the bonds noted above) can come from WHO controls this pivot.
S&P500 Stock Index: Control of this pivot is THE key; should the bulls take it they’ll need 1656.25 next. Weakness moves to 1619 with a failure there going after 1589.25.