yield curve close to support

The first real test of the long term yield downtrend happened in the first half of August with the confirmation of the downtrend resistance line determined by the 30yr bond yield. We are getting close to the next and most important test. The uptrend support line determined by the 5yr note yield is still valid. However, we are getting very close to it and it may break. Notice how the breaking of the support lines determined by the 30yr bond yield and by the 15yr note yield took several months to complete.




Categories: bond market, interest rates