Comments: US 30-Year Bond: The move to 129 is still intact especially if the bears can hold 134.05. Losing that DOES let trade go after the stops – and then we’ll see a massive move higher if the bulls then take out 135.28. I’m still going to favor the bears at 134.05 – and then of course they’ll need to take prices back below the yield (132.11) to start to reassert control. 10-Year Treasury Notes: If the bulls get trade above this pivot we need to give them a chance to test at least the yield (127.01?) –and I’ll favor the bulls at 127.10 as well…Trade below the pivot keeps 10s soft – but until the bears can re-test the area of 125.08 we can’t really call the market weak. 5-Year Treasury Note: Although 122.055 will give us at least a first-touch fade, trade up thru 121.255 will go after 122.26. Trade back below 121.13 lets the bears reassert – but then they’ll need 120.20. S&P500 Stock Index: Strength seeks 1734. Trade will be WEAK below 1686.50.
