A faint light is often all that is cast upon truly outstanding positioning strategies before they ready. Fundamental analysis, awareness of monetary policy developments, positioning conditions and other trend characteristics followed allow candlestick charting analysis to shine needed illumination. Martin B. McGuire
Thursday, February 20, 2014
Treasury Bears Recovering From Hibernation
Treasury Future volume spikes as the contract fell for a second session.Overnight gains following surprisingly low
China PMI were relinquished earlier today amongst mixed domestic data.
speculators, comforted by recently weaker economic data that has fallen off the
Q3-Q4 pace have been inclined to believe the Fed will reduce or eliminate the
tapering of securities. The last two
weeks has allowed only consolidation near recent highs, despite a weaker
economic data glut.The lack
of progress in the January started bullish advance should be expected to soften
the resolve of this group.
A lower settlement
today would help to confirm the bearish implications of yesterday’s ‘bearish
shooting star’.A settle below support
at 125-14 would further encourage the bearish contingency.Finally, a settle below the Feb 12 low of 125-08
would be additionally encouraging as this would more firmly set the stage for a
retest of 3%+ yield equivalent 123-00ish.
It has been a
relatively quiet two weeks caped by extreme weather and the chill of
unsubstantiated progress toward Fed mandated goals.Today brings severe rains to the Mid-West,
but for some it is at least not snow.