X Marks the Spot: US 30yr Bond Futures

John LunneyGeneral Commentary

30 Year Bond Futures

     I’ve gotta admit  although I expected the bonds to hold the line and establish another leg up I did’t believe they would break thru the 143.20 level. That being said I still contend that this recent advance will ultimately reach for 146.15 to 147. I have currently labeled the last sharp low established at 142.00 as an X wave extreme. This is the linking wave between a series of of 2 or 3  a-b-c patterns. This is a non-impulsive structure that ultimately should run outta gas. The overhead objective target is what I contend to be a major convergence level. Should the contract dip below 144.19 I’d be looking for a continued slip to 144.12-144.07. In my opinion this level should hold and thus set the stage for the final c wave of the second a-b-c sequence. All proportional measurements that I can observe point to the previously targeted resistance level.

My analytical breakdown focuses on a blend of wave pattern recognition, long and short term geometrical extensions and momentum signal interpretation. Please feel free to contact me at Walsh Trading to discuss my insights into this or any market of your interest.

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