Adjusted on: 9/1 US 30-Year Bond: Here’s some highlights to keep in mind as the week unfolds: since we got the bearish trigger back on 7/31 the key price off that move is 132.19 – so we’ll need to go with the bulls above 132.13 (there is resistance there) – 132.19. Bears can be a bit more aggressive below 131.04.
10-Year Treasury Notes: It is CRITICAL for the bears to hold this pivot – doing so lets them go after 123.08. Trade above the pivot WILL trigger some short covering – but the bulls need at least 124.15 to begin to gain any control.
5-Year Treasury Note: 119.11 is virtually “last support” as weakness can now go after 118.20. The bulls do MUCH better above 119.26_2-119.31_2.
S&P500 Stock Index: Although the pivot is the key to the next longer-term direction, what matters NOW is: can the bulls take out 1646.75 (that lets them target 55.50) or (and remember, the big picture is bearish) can the bears take out 23.50. (Trade breaks HARD with a move below 23.50).